Key Highlights
- Micron Technology stock skyrocketed 18% in pre-market hours following a remarkable 346% year-over-year revenue increase and third-quarter results that crushed analyst projections
- Memory and storage companies including Sandisk, Seagate, and Western Digital rallied in tandem, posting gains ranging from 8% to 15%
- Qualcomm stock jumped 12% after the company announced plans to nearly double its non-smartphone revenue target to $40 billion by 2029
- Wendy’s stock surged more than 15% as WallStreetBets forum activity sparked renewed retail investor enthusiasm
- Alibaba’s American depositary receipts declined after Anthropic alleged unauthorized access to its Claude AI technology
Micron Technology experienced an 18% surge in pre-market trading Thursday following quarterly earnings that significantly exceeded analyst forecasts.
The memory chip manufacturer reported a staggering 346% revenue increase compared to the previous year. Looking ahead to the fourth quarter, Micron provided guidance calling for adjusted earnings between $30 and $32 per share, substantially higher than the Wall Street consensus of $25.72.
Revenue projections for the coming quarter range from $49 billion to $51 billion, significantly outpacing analyst expectations of $43.58 billion.
The impressive quarterly performance triggered a broader rally across memory and storage companies. Sandisk climbed 15%, Western Digital advanced 12%, and Seagate Technology rose 8.4%.
Additional semiconductor stocks participated in the upward momentum. Applied Materials gained 7%, Intel increased 5.1%, Marvell Technology advanced 3.7%, and Corning jumped 8.8%.
Corning received an additional boost after announcing a quarterly dividend distribution on Thursday, further enhancing investor sentiment.
Qualcomm Unveils Bold Revenue Projections
Qualcomm shares rocketed 12% higher after the semiconductor giant revealed updated financial targets during an investor presentation.
The company established an ambitious goal to generate more than $15 billion from data center operations by fiscal year 2029. Additionally, Qualcomm is targeting $10 billion in automotive chip revenue and over $14 billion from Internet of Things applications.
Collectively, these projections establish a $40 billion revenue target from non-smartphone sources by 2029. The company also disclosed Meta Platforms as a new client.
Qualcomm projects that smartphone chips will represent only one-third of its total semiconductor revenue by 2029, marking a significant shift from its current business composition.
Reddit’s WallStreetBets Drives Wendy’s Rally
Wendy’s shares climbed another 15% Thursday, continuing a momentum surge that began after discussions on Reddit’s WallStreetBets community attracted retail investors to the stock.
Market research firm Vanda noted the movement showed “clear echoes” of the retail-driven short squeeze phenomena witnessed in 2021.
Alibaba Declines Following AI Access Allegations
Alibaba’s American depositary receipts fell 3% while its Hong Kong-listed shares tumbled to their lowest level in 16 months.
The decline came after news emerged that artificial intelligence company Anthropic had sent communications to White House officials and U.S. senators, claiming Alibaba orchestrated a systematic campaign to improperly access its Claude AI technology.
Other Chinese technology companies experienced similar declines. Xiaomi and Baidu both fell more than 3%.
ARS Pharmaceuticals plummeted 23% after disclosing that no additional insurance coverage determinations were made for its epinephrine nasal spray during the July 1 review cycle.
Taysha Gene Therapies declined 10% following announcement of a public stock offering designed to raise approximately $200 million.
