Micron beats Wall Street estimates in the fiscal second quarter
- Micron beats Wall Street estimates in the fiscal second quarter.
- The chipmaker forecasts up to £5.30 billion of revenue for Q3.
- Micron shares were 2% up in extended trading on Wednesday.
Micron Technology Inc. (NASDAQ: MU) published its earnings report for the fiscal second quarter on Wednesday that beat Wall Street estimates.
Micron shares were reported more than 2% up in after-hours trading on Wednesday. Including the price action, the stock is now exchanging hands at £65.41 per share. In comparison, the U.S. chipmaker had started the year 2021 at a per-share price of a lower £53.72. The price action should come in handy if you are interested in investing in the stock market.
Micron’s Q2 financial results versus analysts’ estimates
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Micron said that its net income in the second quarter printed at £437.49 million that translates to 38.45 pence per share. In the same quarter last year, its net income was capped at a lower £293.84 million, or 26.12 pence per share.
On an adjusted basis, the chipmaker earned 71.10 pence per share in Q2 versus the year-ago figure of 32.65 pence per share. Micron generated £4.53 billion of revenue in the recent quarter – an increase from £3.48 billion last year.
According to FactSet, experts had forecast the company to record $4.49 billion of revenue in the second quarter. Their estimate for adjusted per-share earnings stood at a lower 68.92 pence. Micron’s quarterly update comes a day after the American clothing company PVH Corp also reported its financial results for the fiscal fourth quarter.
As per Micron, DRAM sales accounted for 71% of its total quarterly revenue, while NAND made up 26% of the revenue. Revenue from both segments was better than expected in Q2. In the prior quarter (Q1), DRAM sales had made up 70% of Micron’s total revenue.
Other prominent figures in Micron’s earnings report
Other notable figures in the Boise-headquartered company’s earnings report on Wednesday include a 34% annualised growth in compute and network sales, and a 44% increase in mobile sales.
For the fiscal third quarter, Micron now forecasts up to £5.30 billion of revenue. It expects its adjusted EPS to fall in the range of £1.12 to £1.23. In comparison, analysts are calling for £4.96 billion of revenue and 96 pence per share of adjusted EPS.
Micron performed largely upbeat in the stock market last year with an annual gain of a little under 40%. At the time of writing, the Nasdaq-listed company is valued at £71.59 billion and has a price to earnings ratio of 33.29.