Micron Technology’s stock surged 14% following a strong fiscal first-quarter report, beating estimates. The company highlighted robust demand for its memory chips, particularly from data centers and AI servers. Micron expects the high-bandwidth memory market to reach $100 billion by 2028, with a 40% annual growth rate. Management increased capital expenditure guidance to $20 billion.

For the fiscal first quarter, Micron reported adjusted earnings of $4.78 per share on $13.64 billion in revenue, exceeding Wall Street estimates. Revenue for the current quarter is projected to hit around $18.70 billion, with adjusted earnings expected to reach $8.42 per share. JPMorgan raised its price target on the stock, and Bank of America upgraded shares to a buy rating.

Analysts praised Micron’s results, calling it the best revenue and net income upside in the U.S. semiconductor industry’s history, outside of Nvidia. They anticipate memory to be a significant beneficiary of AI growth in the next 12 months. Micron’s stock chart shows a promising year-to-date performance.

Read more at CNBC: Micron stock pops on earnings blowout as AI memory demand soars