Micron Technology Fiscal 2027 Q1 Outlook
Micron Technology Inc. forecast fiscal 2027 first‑quarter revenue of $61.5 billion, with a guidance range of plus or minus $1.5 billion, exceeding the Wall Street consensus estimate of $56.77 billion. Adjusted earnings per diluted share are projected at $38.15, plus or minus $1.00, above the consensus of $36.02 per share.
Revenue growth is being driven by strong artificial‑intelligence (AI) demand across Micron’s product portfolio. Server‑grade LPDDR “SOCAMM” product revenue more than doubled sequentially in the fourth quarter, and the company’s PCIe Gen 5 and Gen 6 solid‑state‑drive (SSD) offerings are being shipped for AI‑related cache applications.
Despite the upbeat top‑line outlook, Micron indicated a sequential slowdown in earnings growth. Adjusted earnings per share rose 33 % in the fourth quarter versus the third quarter, and the Q1 guidance implies a 14 % quarter‑on‑quarter EPS increase.
The company expects an adjusted gross margin of approximately 86.25 % for the quarter, slightly below the 87.0 % margin recorded in the fourth quarter, signalling modest near‑term margin pressure. Adjusted operating expenses are forecast at about $2.06 billion for the quarter, and total operating expenses for fiscal 2027 are expected to rise by $2.5 billion year‑over‑year.
Fourth‑quarter fiscal 2026 results were record‑setting: adjusted revenue of $54.23 billion beat the $50.45 billion estimate; adjusted earnings per diluted share were $33.42 versus the $31.16 consensus; adjusted gross margin improved to 87.0 % from 84.9 % in the prior quarter; adjusted operating income increased to $44.64 billion from $33.68 billion; and adjusted net income rose to $38.40 billion from $28.86 billion.
CEO Sanjay Mehrotra said the company expects an “even stronger fiscal 2027” after delivering record fiscal 2026 results, attributing the outlook to sustained AI demand and strategic customer agreements. CFO Mark Murphy stated that Micron has the ability and intent to increase its capital return and will commence a stronger capital return programme starting 9 December. Direxion’s Head of Capital Markets Jake Behan noted that the earnings beat validates market expectations for continued AI‑driven growth and provides a fresh catalyst for the AI trade.