Micron stock plunged on weak second-quarter forecast
Sanjay Mehrotra, CEO of Micron Technology Inc., speaks during an interview with CNBC on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., April 26, 2024.
Brendan Mcdermid | Reuters
Micron Shares fell 13% in extended trading Wednesday after the chipmaker issued a weak second-quarter forecast despite an earnings beat in the latest period.
Here’s how the company did compared to the expectations of analysts surveyed by LSEG:
- Earnings per share: $1.79, revised vs. $1.75 expected
- Revenue: $8.71 billion vs. $8.71 billion expected
For the second quarter, Micron said it expects revenue of $7.9 billion, plus or minus $200 million, and adjusted earnings per share of $1.43, plus or minus 10 cents. According to LSEG, analysts expect revenue of $8.98 billion and EPS of $1.91.
The computer memory and storage company saw its shares rise 22% as of market close, trailing the Nasdaq’s 29% gain. in income statementMicron highlighted data centers and artificial intelligence projects using Nvidia processors as growth areas.
“While consumer-facing markets are weaker in the near term, we anticipate a return to growth in the second half of the fiscal year,” CEO Sanjay Mehrotra said in a press release. our main”. parts of the market and are uniquely well positioned to drive growth through AI to create significant value for all stakeholders.”
