Micron reports record revenue and expands its buyback authorization

what happened

TradingView reports that Micron Technology, Inc. (NASDAQ:MU) ended fiscal 2026 with record revenue of about $133 billion as AI demand lifted DRAM and NAND. Fourth-quarter revenue reached $54.23 billion, adjusted EPS was $33.42 and GAAP gross margin stood at roughly 86–87%. For Q1, management expects revenue of about $61.5 billion and adjusted EPS near $38.15; more than 75% of fiscal 2027 production is already committed.

Micron raised its share-repurchase authorization to $35.16 billion from the current $2.2 billion. A major buyback may begin on Dec. 9 if CHIPS Act restrictions are eased. The company signed 26 long-term customer agreements covering more than 35% of revenue through fiscal 2030. Around 75% include pricing clauses, customer deposits total approximately $32 billion and remaining obligations are about $150 billion. Micron plans roughly $25 billion of AI capital spending in the first half of fiscal 2027. Traders say the stock is valued at about six times expected 2027 EPS, while a daily close below $1,040 could weaken the rebound.

A strike in Taoyuan was authorized after 1,994 union votes over 2026 bonuses and profit-sharing, with mediation stalled. Taoyuan and Taichung account for about 12,000 of Micron’s roughly 15,000 Taiwan employees. Micron also reached a five-year global licensing deal with Netlist, paying $30 million quarterly from Q4 2026 through Q3 2031, or $600 million in total. The agreement resolves earlier litigation and a previous $445 million judgment. TradingView says AI infrastructure is increasing demand for server-oriented DRAM and NAND. Revenue benefited from average selling prices that were 180–200% higher and memory-bit shipment growth in the mid-20% range. Micron supplies HBM for Nvidia’s AI chips, including HBM4 for Vera Rubin, and is co-developing a customized HBM4E, although the timing of DRAM supply-demand conditions remains uncertain. The company plans to buy a Taiwan plant for about $1.8 billion, has invested more than $50 million there and describes Taiwan as a key production hub. TradingView notes that its summary was AI-generated and may contain inaccuracies.

why it matters

The update combines powerful AI-related memory demand with heavy investment and a larger potential buyback. Taiwan labor tensions, uncertainty around DRAM market timing and CHIPS Act conditions remain key risks for Micron and the AI hardware supply chain.

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