Micron gains as SK Hynix profit surge signals robust AI demand
MU•Micron Technology rose 4.61% to $971.54 after SK Hynix reported quarterly profit more than seven times higher, illustrating strong demand for AI infrastructure and memory chips.
1. Shares rise after results
Micron Technology shares rose 4.61% to $971.54 after rival SK Hynix reported a more than sevenfold jump in quarterly profit. The results illustrated continued demand for AI infrastructure, which has boosted memory chip prices.
2. Valuation and performance
Micron traded at 5.09 times expected earnings over the next 12 months, compared with 2.95 times for SK Hynix. Including the session's move, Micron had more than tripled year to date, outperforming the Philadelphia Semiconductor Index's 62% gain; Samsung Electronics gained around 9% in early trading.
