Micron Technology briefly overtook Meta Platforms and Tesla in market capitalisation on Thursday as stronger-than-expected guidance reinforced investor confidence in the artificial intelligence infrastructure and memory-chip demand.
Shares of the largest US memory-chip maker surged as much as 18.4 percent intraday after the company delivered stronger-than-expected quarterly guidance. That briefly lifted Micron’s market capitalisation above that of Meta and Tesla, according to a Reuters report. The stock ended up 15.8 percent.
By the close, Micron’s market capitalisation stood at $1.37 trillion, compared with $1.38 trillion for Meta Platforms and $1.41 trillion for Tesla.
The rally followed Micron’s upbeat fourth-quarter forecast, with the company projecting revenue of around $50 billion for the quarter ending August, well ahead of Wall Street expectations of $43.2 billion. The results reinforced investor confidence that spending on artificial intelligence infrastructure remains robust despite growing concerns over the sustainability of hyperscalers’ capital expenditure.
Micron also disclosed that customers have committed $22 billion to secure future supplies of memory chips, highlighting the intense demand for high-bandwidth memory and other AI-focused products.
Chief Executive Officer Sanjay Mehrotra told analysts there was “no line of sight” to supply catching up with demand, Bloomberg reported. Mehrotra added that tight market conditions are expected to persist beyond calendar 2027, with availability likely to improve only gradually in 2028.
The results extended Micron’s remarkable rally. The stock is now up roughly 326 percent so far in 2026 and has climbed more than 15 percent since reporting earnings. Micron first crossed the $1 trillion market-capitalisation milestone in late May, joining an exclusive group of technology giants as investors increasingly rewarded companies positioned to benefit from the AI investment cycle.
The earnings also sparked a broad rally across semiconductor and storage stocks. The Philadelphia Semiconductor Index rose 3.2 percent on Thursday and remains on track for its strongest quarterly performance on record, according to LSEG data.
Among peers, Sandisk jumped 22 percent, Western Digital gained 7.4 percent and Seagate Technology advanced 4.3 percent, while Qualcomm climbed after outlining ambitious growth plans for its AI-focused data-centre business.
Despite Micron’s blockbuster results, the broader technology sector finished mixed. Investors remained concerned about whether escalating AI-related spending by hyperscalers is sustainable, particularly after Apple announced price increases for iPads and MacBooks to offset rising memory and storage chip costs. The move triggered a 6.1 percent drop in Apple’s shares and renewed debate over who ultimately bears the cost of the AI infrastructure boom.
