Not All AI Stocks Are Falling These Days. Micron Is Rising on Strong Earnings

Core Insights - Concerns about an AI bubble have impacted the tech sector, yet Micron continues to benefit from the AI boom, with shares rising over 5% after strong earnings results [1][5] Financial Performance - Micron Technology reported adjusted earnings per share of $4.78 for the fiscal first quarter, surpassing analysts' expectations of $3.96, with revenue increasing nearly 60% year-over-year to a record $13.64 billion [2] - The company projected adjusted earnings per share of $8.22 to $8.62 and revenue of $18.3 billion to $19.1 billion for the second quarter, significantly above consensus estimates [3] Market Position and Strategy - As a supplier for major AI chipmakers like Nvidia and AMD, Micron has gained strong momentum in its data center business, positioning itself as a "pick-and-shovel" play in the AI sector [3] - Micron's GAAP gross margin increased to 56% in the first quarter, up from approximately 38% a year earlier, with expectations to rise as high as 68% in the current quarter [4] Stock Performance - Micron's shares have nearly tripled in value in 2025, making it one of the top-performing stocks in the S&P 500 for the year [5]