Micron shares rise on bets of strong demand for AI-related memory chips
FILE - This Feb. 3, 2012 file photo shows the exterior view of memory chip maker Micron offices in San Jose, Calif. (AP Photo/Paul Sakuma, File)
Micron Technology shares rose two per cent in premarket trading on Thursday, after a robust forecast from the chipmaker for fourth-quarter revenue on booming demand for its memory chips that power AI data centers.
The company saw a nearly 50 per cent jump in sales of high-bandwidth memory (HBM) chips for the third quarter compared to the previous three months. Micron is one of the providers of HBM chips besides South Korea's SK Hynix and Samsung.
'AI servers are giving Micron an over-caffeinated growth spurt... (and) Micron is the only kid on the block shipping HBM3E at scale,' said Michael Ashley Schulman, partner at Running Point Capital Advisors.
Micron said it will continue to invest in HBM chips which reflects the growing demand from AI chip front runners - Nvidia and Advanced Micro Devices, who are customers of the company.
J.P.Morgan said it expects Micron's HBM chip sales to accelerate, hitting a US$8 billion annualized revenue run rate over the next one to two quarters.
Micron's Chief Business Officer Sumit Sadana told Reuters the extent of tariff-related pull-ins from customers in the third quarter was fairly modest.
'Tariffs (are) a factor, and management's acknowledgment of that is a positive, in our view. But don't see it as a big driver of recent strength,' Morgan Stanley analysts said in a note.
Following the results, at least 10 brokerages raised their price targets on the stock.
Shares of peers AMD, Nvidia and Marvell Technology rose between 1-3 per cent in premarket trading.
Micron is up 51.2 per cent, while AMD and Nvidia have gained about 19 and 15 per cent, respectively, so far this year.
Micron has a 12-month forward price-to-earnings ratio of 11.85, compared to SK Hynix's 6.48 and Samsung's 11.57.
---
Reporting by Akriti Shah in Bengaluru; Editing by Shailesh Kuber
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Globe and Mail
31 minutes ago
- Globe and Mail
Apple Continues to Expand Services Business: What's the Path Ahead?
Apple AAPL is continuously upgrading features of its Services offerings that revolve around the flagship device, iPhone. The company now has more than 1 billion paid subscribers across its Services portfolio, more than double what it had four years ago. In the fiscal second quarter, Services revenues grew 11.6% year over year to $26.65 billion. Infusion of Apple Intelligence into Services offerings like Apple Wallet and Apple Music is expected to drive top-line growth. At its latest annual Worldwide Developers Conference, Apple announced expansion to the Services business with AutoMix and Lyrics Translation features in Apple Music. Sing will allow users to transform their iPhones into a handheld microphone for Apple TV, while preferred routes and visited places in Apple Maps make navigation easier for users. Apple Intelligence is now getting added to Apple Wallet, and users can make purchases with Apple Pay. Powered by Apple Intelligence, Apple Wallet can now automatically identify, summarize and display order tracking details from emails sent from merchants or delivery carriers. Meanwhile, Apple Pay expands the ability to pay with rewards and installments to in-store purchases for added flexibility and choice. The company also introduced an update to Apple Maps that helps users search and discover top-ranked restaurants, hotels, golf courses and more, with the addition of rankings and insights from expert sources. Per our model, Apple's Services revenues are expected to see a CAGR of 15.6% between 2024 and 2027. Apple Faces Stiff Competition Netflix NFLX and Disney DIS are major competitors in the Services space. Netflix is benefiting from its growing subscriber base, thanks to a robust localized and foreign-language content portfolio and healthy engagement levels with about two hours of viewing per member per day, indicating strong member retention. Netflix has set an ambitious target to double its revenues by 2030, supported by a diversified content strategy, including international programming, live events and gaming initiatives. Disney, on the other hand, has built up a massive global audience for its ad-supported streaming content. It has an estimated 157 million active users worldwide, 112 million of whom are of Disney's streaming platforms in the United States. Disney is benefiting from strength in Domestic Parks & Experiences revenues driven by growth at domestic parks, Disney Vacation Club and Disney Cruise Line. AAPL's Share Price Performance, Valuation and Estimates Apple shares have dropped 19.5% year to date (YTD), underperforming the broader Zacks Computer & Technology sector's return of 4.5%. AAPL's Performance Apple stock is trading at a premium, with a forward 12-month Price/Sales of 7.25X compared with the industry's 6.75X. AAPL has a Value Score of D. AAPL Valuation The Zacks Consensus Estimate for third-quarter fiscal 2025 earnings is pegged at $1.41 per share, unchanged over the past 30 days, indicating 0.71% year-over-year growth. The consensus mark for fiscal 2025 earnings is pegged at $7.11 per share, unchanged over the past 30 days, suggesting 5.33% year-over-year growth. Apple currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Research Chief Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Apple Inc. (AAPL): Free Stock Analysis Report Netflix, Inc. (NFLX): Free Stock Analysis Report The Walt Disney Company (DIS): Free Stock Analysis Report
Globe and Mail
31 minutes ago
- Globe and Mail
Invoice Process Automation Led by IBN Technologies Gains Ground in Virginia's Corporate Finance
Virginia enterprises are improving payment workflows with invoice process automation to reduce delays and manage large invoice volumes. Enhanced tracking, automated validations, and system-wide integration allow for stronger financial control and consistent vendor interactions. Miami, Florida - 26 June, 2025 - Accounts payable teams are introducing smarter tools to manage growing financial documentation. High-volume vendor billing and diversified invoice formats are pushing organizations to rethink how finance departments execute routine tasks. Through structured implementation, invoice process automation now supports precise, timely invoice tracking and processing across payment cycles. In Virginia, businesses embed automation directly into core finance operations. This evolution is allowing organizations to gain more control over documentation, reconciliation, and supplier coordination. The use of Automated Invoice Management enhances validation, approval flows, and reporting accuracy—providing a consistent layer of operational clarity. These capabilities support seamless oversight and greater accountability across all levels of the financial process. Invoice transactions now follow standardized paths, with improved alignment between finance and procurement functions. Businesses operating in competitive markets are increasingly dependent on structured automation to maintain their lead. With accuracy, speed, and cost-efficiency top of mind, automation is now essential to achieving financial discipline and scalable growth. The transition to intelligent systems reflects a larger trend toward process governance and data integrity. As organizations continue to refine invoice handling with automation, they are strengthening infrastructure that supports strategic decision-making and future expansion in Virginia's dynamic commercial landscape. Lead your finance transformation journey with automation that scales! Get a free consultation: Limitations of Paper-Based Processing Manual invoice systems remain widespread, but they place increasing strain on finance functions. These outdated methods slow productivity, cause frequent errors, and prevent fast approvals. As supplier networks expand, manual operations often lack the flexibility and speed required to manage invoices effectively. Staff time heavily spent on invoice data entry Duplicate payments and mismatches caused by human errors Manual approval chains delay vendor payments Invoice status remains unclear without centralized tracking Unstructured documentation affects compliance readiness Decentralized workflows reduce invoice processing alignment Scaling invoice volumes challenge outdated systems Lack of preventive measures leaves room for fraud risk In Virginia, forward-thinking companies are minimizing these problems by shifting to automation. With support from IBN Technologies, finance teams are using invoice processing automation to improve invoice handling accuracy, reduce processing time, and ensure records are audit-ready. Automation provides the structure businesses need to maintain financial integrity and operational speed. Digital Finance Tools Drive Efficiency The growing complexity of vendor invoicing has made invoice automation a necessity for finance teams striving for streamlined workflows. Outdated methods slow operations and elevate the risk of error. IBN Technologies equips businesses with a smart automation platform built for operational clarity and data-driven performance. • Invoices are scanned accurately using advanced OCR recognition software • System checks immediately flag errors before approval stages begin • Configurable workflows route invoices efficiently to designated stakeholders • Visibility improves through centralized, live-status invoice dashboards • Platform integrates with financial systems for seamless daily operations • Alerts notify teams of any irregularities or pending issues • Complete audit reports are stored securely for compliance use • Adapts to growing invoice loads without slowing processing speed • Frees finance staff from routine input and paperwork tasks • Delivers consistency through powerful invoice process automation functions With the right structure in place, businesses across Virginia are transforming traditional processes into efficient, transparent workflows—while maintaining full control and accuracy at scale. Automation Driving Real Results Financial departments modernizing with invoice process automation have reported substantial gains in accuracy and speed. One public entity applied this model to eliminate recurring workflow hurdles. ● Annual invoice volume exceeded 90,000, with 75% shorter cycle times. ● Increased compliance and stronger supplier relationships were achieved promptly. Solutions from companies like IBN Technologies supported the shift, integrating into ERPs to provide clarity and reliable process tracking. Automation Reshapes Invoice Cycles Enterprises handling growing volumes of vendor invoices are embracing smarter ways to manage financial data. With invoice process automation, finance teams can now capture, validate, and route invoices faster and with more consistency. The systems in place enable smoother coordination across departments, enhance documentation accuracy, and speed up approvals significantly. Scalable digital infrastructures are now a strategic priority for enterprises. Through Accounts Payable Automation, firms are ensuring accurate payments, efficient exception handling, and real-time audit readiness. The results deliver greater transparency across workflows, allowing leadership to make informed decisions while reducing bottlenecks in financial operations. Related Service: AP and AR Automation Services: About IBN Technologies IBN Technologies LLC, an outsourcing specialist with 25 years of experience, serves clients across the United States, United Kingdom, Middle East, and India. Renowned for its expertise in RPA, Intelligent process automation includes AP Automation services like P2P, Q2C, and Record-to-Report. IBN Technologies provides solutions compliant with ISO 9001:2015, 27001:2022, CMMI-5, and GDPR standards. The company has established itself as a leading provider of IT, KPO, and BPO outsourcing services in finance and accounting, including CPAs, hedge funds, alternative investments, banking, travel, human resources, and retail industries. It offers customized solutions that drive AR efficiency and growth. Media Contact Company Name: IBN Technologies LLC Contact Person: Pradip Email: Send Email Phone: +1 844-644-8440 Address: 66, West Flagler Street Suite 900 City: Miami State: Florida 33130 Country: United States Website:
Globe and Mail
31 minutes ago
- Globe and Mail
OpenAI Is Quietly Creating Tools to Take on Microsoft Office and Google Workspace (GOOGL)
AI company OpenAI has been quietly creating new ChatGPT features that would let people work together on documents and chat in real time, which will bring it into more direct competition with tech giants Microsoft (MSFT) and Google (GOOGL). According to The Information, these tools haven't launched yet, but two people familiar with the plans say that OpenAI has been designing them for over a year. The company has already taken the first step by launching Canvas, a feature that helps users draft code and documents with AI. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter If the collaboration tools move forward, they could shift ChatGPT from mainly a consumer app to one that also competes directly in the workplace. This move lines up with CEO Sam Altman's goal to make ChatGPT a 'supersmart personal assistant for work.' Adding tools like document collaboration and file storage could challenge the core products in Microsoft Office and Google Workspace, both of which now include built-in AI features. Although Microsoft is OpenAI's biggest investor and business partner, launching these tools could put pressure on their already complex relationship, especially as OpenAI is asking Microsoft to approve a restructuring of its for-profit division that oversees ChatGPT. Indeed, OpenAI has been growing its business subscriptions by selling teamwide access to companies like Moderna (MRNA) and T-Mobile (TMUS). It also recently offered discounts on these plans, which frustrated Microsoft staff who sell similar tools. OpenAI now expects ChatGPT to bring in $15 billion from business subscriptions by 2030, up from $600 million in 2024. Which Tech Stock Is the Better Buy? Turning to Wall Street, out of the two stocks mentioned above, analysts think that GOOGL stock has more room to run than MSFT. In fact, GOOGL's price target of $199.20 per share implies 17% upside versus MSFT's 5.4%.
