Shares of memory storage company Micron Technology (MU) - Get Report rose after hours Thursday after the company reported quarterly results that topped analyst estimates for its fiscal first quarter, which ended Dec. 3.
The Boise, Idaho-based company reported quarterly revenue of $5.773 billion and earnings of 71 cents per share. Analysts were expecting Micron to report revenue of $5.73 billion on earnings of 71 cents per share.
Micron shares gained 2.1% to $80.78 after hours, after rising 2.54% to $79.07 during the day.
“Micron delivered outstanding fiscal first quarter results, driven by focused execution and strong end-market demand,” said Micron Technology President and CEO Sanjay Mehrotra. “We are excited about the strengthening DRAM industry fundamentals."
For the first time in the company's history, Mehrotra said, Micron is leading in both DRAM and NAND memory technologies. The company is also "in an excellent position to benefit from the world's digital transformation that is being driven by AI, 5G, cloud computing and data mining, Mehrota said.
For its second fiscal quarter, Micron said it expects to generate non-GAAP revenue of between $5.6 billion and $5.10 billion with earnings between 68 cents and 82 cents per share. Wall Street is expecting revenue of $5.5 billion with earnings of 63 cents per share.
Earlier this week, Micron shares jumped following a double upgrade from analysts at Citigroup, who also raised their price target to $100 per share.
Deutsche Bank boosted its price target for Micron by $10 to $85 a share on Tuesday, while RBC Capital Markets raised its price target by $26 to $83 per share.
"When I look at DRAM, beyond the seasonally weak calendar first quarter, I expect that strength will continue to build up in DRAM through the course of the year with all the industry's supply considerations, but more importantly all the demand drivers that continue to build up nicely for DRAM," Mehrotra said at a Credit Suisse event on December 1.