1、North America Equity Research24 September 2025J P M O R G A NMicron TechnologyStrong Results/Guidance Driven By AI/Datacenter Strength And Better Pricing Trends;Solid Execution On HBM Technology Roadmap Positions Micron For Continued Share Gains;Reit OWOverweightMU,MU USPrice(23 Sep 25):$166.41Price

2、 Target(Dec-26):$220.00Prior(Dec-25):$185.00Semiconductors&Semiconductor Capital Equipment/IT HardwareHarlan Sur AC(1-415)315-Peter K Peng(1-415)315-Mayur RJ.P.Morgan Securities LLCKey Changes(FYE Aug)PrevCurAdj.EPS-26E($)14.5718.22Quarterly Forecasts(FYE Aug)Adj.EPS ($)2025A2026E2027EQ11.793.795.82

3、Q21.564.20Q31.914.88Q43.035.35FY8.2918.22Style ExposureAs we had previewed(see note here),Micron delivered solid Aug-Qtr results,exceeding the early August positive-pre update(revenue,gross margin,and earnings)and provided a strong outlook for the Nov-Qtr.The strong performance was driven by continu

4、ed strength in HBM(up 33%Q/Q to$2B/qtr)and datacenter demand,alongside growth in consumer applications such as mobile and PC,as well as improvements in broad distribution,industrial,and automotive markets.Pricing was better than expected for both DRAM and NAND,with HDD supply shortages supporting a

5、more favorable NAND environment.Blended DRAM pricing increased by low double-digits%Q/Q,reflecting a favorable product mix(notably strong datacenter growth)and tightening supply-demand dynamics.Given the favorable pricing trends,gross margins were 45.7%for the Aug-Qtr,above the August positive-pre g

6、uidance,and was guided to 51.5%for the Nov-Qtr-marking the first time gross margins have crossed the 50%threshold since 2019.Notably,management indicated that gross margins should continue to expand sequentially into the Feb-Qtr.The HBM3E 12-Hi ramp is progressing well,with HBM market share now alig