Micron Reports Strong Q2 2025 Results but Faces Investor Concerns Over Margins

The semiconductor giant beats revenue and EPS expectations, driven by AI demand, but stock falls due to weaker-than-expected gross margin forecasts.

Micron posted Q2 2025 revenue of $8.05 billion, a 38% year-over-year increase, exceeding analyst expectations of $7.89 billion.
Adjusted earnings per share came in at $1.56, surpassing the $1.42 estimate, as data center sales tripled year-over-year due to AI-driven demand.
The company launched its advanced 1-gamma DRAM node, offering improved power efficiency and performance, reinforcing its technological leadership.
Micron forecasts Q3 2025 revenue of $8.8 billion, above Wall Street estimates, but its gross margin guidance of 36.5% fell short of expectations.
Despite strong AI-related growth, stock dropped 8% as investors reacted to concerns over pricing pressures in NAND memory and margin challenges.