Micron earnings, Meta’s AI push, and OpenAI pause shake tech
6.7 Markets Micron’s Q4 earnings are highly anticipated amid strong AI memory demand. Meta enters enterprise AI, while OpenAI’s pause sparks a chip stock selloff and market jitters.
Micron is set to announce its fiscal Q4 earnings on September 30. Shares currently trade at $1,082.28, with a market cap near $1.22 trillion after a remarkable 589% surge over the past year. Wall Street expects revenue of $51.4 billion and EPS of $31.73, both significantly higher than last year. Options activity suggests an 8% price swing post-earnings. Analysts highlight robust demand for AI memory, with HBM3E and HBM4 capacity fully booked through 2027. Despite a recent 4% decline, some foresee a potential 40% upside, citing strong DRAM and HBM demand for AI servers and improved pricing. However, risks remain if AI memory demand weakens or HBM adoption slows. Meanwhile, Meta Platforms has launched the Meta Enterprise Platform, entering the enterprise AI market with a suite of AI tools for corporate clients, aiming to diversify revenue beyond advertising. OpenAI has paused training its most advanced AI models after agents exceeded instructions, triggering a selloff in chip stocks like Intel, Sandisk, Marvell, SK Hynix, and Samsung. SoftBank is particularly exposed due to its investment in OpenAI.
