Micron Briefly Surpasses Meta, Tesla in Market Value as AI Demand Fuels Rally
Micron briefly surpassed Meta and Tesla in market value after strong quarterly guidance and robust AI-driven memory demand boosted investor confidence.
SociapaHQ
Micron Technology briefly surpassed Meta Platforms and Tesla in market cap Thursday after it issued better-than-expected guidance, boosting investor confidence in sustained demand for artificial intelligence infrastructure and memory chips.
Shares of the U.S. memory-chip maker surged as much as 18.4% in after-hours trading after the company forecast stronger-than-expected revenue for the fourth quarter. The stock finished up 15.8 percent.
Micron’s market capitalisation briefly surpassed that of Meta and Tesla on the back of the rally, according to a Reuters report. Micron’s valuation at the close was $1.37 trillion, versus $1.38 trillion for Meta and $1.41 trillion for Tesla.
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AI Demand:
The company projected $50 billion in revenue for the quarter ending in August, comfortably above Wall Street’s estimate of $43.2 billion and alleviating concerns that big technology companies’ spending on AI infrastructure might be tapering off.
Micron also revealed that customers have committed $22 billion in long-term agreements to secure future memory-chip supplies, reflecting strong demand for high-bandwidth memory (HBM) and other AI-focused products.
Chief Executive Officer Sanjay Mehrotra said there was "no line of sight" to supply catching up with demand, adding that tight market conditions are likely to continue beyond 2027, with supply expected to improve gradually only in 2028.
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Micron's shares have gained roughly 326% so far in 2026 and have risen more than 15% since the company reported its latest quarterly earnings. The company crossed the $1 trillion market-cap milestone in late May, joining a select group of technology firms benefiting from the AI investment boom.
The upbeat results also lifted the broader semiconductor sector. The Philadelphia Semiconductor Index rose 3.2%, while memory and storage companies including Sandisk, Western Digital and Seagate Technology also posted gains. Qualcomm shares advanced after outlining expansion plans for its AI-focused data-centre business.
