#EarningsSeason #TechStocks $MU
Micron issues its FY2026 Q4 report on Sept 30, representing an important test of the continuing AI Memory Supercycle.
The most pertinent questions and considerations:
đŻ The Guidance Targets ~$50B (±$1B) Revenue and EPS of ~$31.00. Consensus expects $50.8Bâ$51.3B.
It is not outlandish that the Gross Margin could breach 86% as tight server DRAM pricing and production limits on HBM grant Micron pricing power. Chief risk = node-level yields or capex realization issues.
The AI-enabled hyperscaler capex (vs. consumer discretionary) is driving strong demand for HBM, which will persist through at least 2027.
Trading Strategy for $MU
đ Cautious long bias with dynamic risk management.
Pre-Report: Hold longs with protective put options to defend against implied volatility contraction.
Post-Report: Beat the $51B+ revenue with strong FY2027 Q1 guidance targets $160+ narrative and target tactical buying opportunities if forward guidance proves disappointing.
How are you positioned ahead of a blockbuster print? Comment below.
