Micron Technology Rallies In Pre-market On Encouraging Quarterly Results, Outlook Better Than View

(RTTNews) - Shares of Micron Technology, Inc. (MU) were rising more than 17 percent in pre-market on Thursday at $113.30, after reporting upbeat second-quarter results above the Street expectations. The chipmaker also provided third-quarter outlook better than the consensus view.

The company posted net income of $793 million, or $0.71 per share for the second quarter, compared with a loss $2.312 billion or $2.21 per share in the same quarter a year ago.

Excluding one-time items, earnings were $476 million, or $0.42 per share. On average, 24 analysts polled by Thomson-Reuters were expecting the company to report a loss of $0.25 per share.

Revenue for the quarter increased to $5.82 billion from $3.69 billion in the previous year. The consensus estimate was for $5.34 billion.

For the third quarter, Micron expects revenue to be $6.60 billion plus or minus $200 million. Adjusted earnings for the year are expected to be $0.45 plus or minus $0.07.

Analysts expect the company to report earnings of $0.20 per share on revenue of $6 billion for the quarter.

Looking ahead, Sanjay Mehrotra, President and CEO of Micron Technology commented, "Our preeminent product portfolio positions us well to deliver a strong fiscal second half of 2024. We believe Micron is one of the biggest beneficiaries in the semiconductor industry of the multi-year opportunity enabled by AI."

Micron shares had closed at $96.25, up 2.39 percent on Wednesday. The stock has been trading in the range of $56.01 - $101.85 in the last 1 year.