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How Micron Technology Stock Soared 21% Last Month

The Motley Fool Logo The Motley Fool By Anders Bylund
How Micron Technology Stock Soared 21% Last Month

Micron Technology's stock jumped 21% in December 2025 following strong Q1 2026 earnings driven by AI-driven demand for memory chips. The company reported 56.6% year-over-year revenue growth and a quadrupling of earnings per share, with net income surging from $1.87 billion to $5.24 billion. Despite reaching all-time highs, the stock trades at a valuation discount (8.4x forward earnings) compared to other AI stocks, suggesting further upside potential as AI demand for memory chips remains robust.

Insights
MU   positive

Strong Q1 2026 earnings beat expectations with 56.6% YoY revenue growth, net income quadrupling, and free cash flow skyrocketing. Stock at all-time highs with attractive valuation at 8.4x forward earnings. AI demand for memory chips expected to sustain growth momentum.