Micron Technology Shares Surge After-Hours on Record Q3 Results and Blockbuster Q4 Outlook

Micron Technology, Inc. (Nasdaq: MU) shares shot over 14% higher in after-hours trading on Wednesday after the memory-chip giant delivered record fiscal third-quarter results that dramatically surpassed Wall Street estimates, and issued guidance that left analysts scrambling to revise targets higher.

The Boise, Idaho-based company reported Q3 FY2026 net revenue of $41.46 billion, nearly double the prior quarter’s $23.86 billion and more than four times the $9.30 billion posted a year ago. The figure demolished the analyst consensus estimate of $35.25 billion tracked by Yahoo Finance — a beat of roughly $6.2 billion, or 18%.

On the bottom line, Micron delivered non-GAAP diluted earnings per share of $25.11, crushing the Street’s average estimate of $20.28 by nearly $5 per share — a 24% upside surprise. The company’s gross margin expanded to a remarkable 84.9% on a non-GAAP basis, compared to just 39% in Q3 FY2025, reflecting surging demand and pricing power for high-bandwidth memory (HBM) chips powering artificial intelligence infrastructure.

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All four business segments posted strong sequential growth, led by the Cloud Memory unit, where revenue more than doubled to $13.77 billion, and the Core Data Center unit, which climbed to $11.52 billion.

The market reaction was turbocharged by Micron’s Q4 FY2026 guidance: the company projected revenue of $50.0 billion — towering above the consensus forecast of $42.5 billion — and non-GAAP EPS of $31.00, versus the Street’s expectation of $24.80.

CEO Sanjay Mehrotra attributed the performance to AI-driven demand and highlighted new multi-year Strategic Customer Agreements, calling them a significant step in enhancing the “durability and predictability” of Micron’s financial results. With HBM4 already in high-volume shipments and next-generation HBM4E under development, bulls argue Micron’s best days may still lie ahead.