Micron (MU) leads on HBM AI demand with 84.9% gross margins, while Sandisk (SNDK) jumped 21% after NAND pricing drove 103% sequential data center growth. CEO Sanjay Mehrotra locked in floor gross margins well beyond prior cycle peaks through ~$100B in contracted revenue across 16 Strategic Customer Agreements. Micron's late-September fiscal Q4 report, backed by an 8-quarter beat streak and a 6x forward P/E, makes it the higher-conviction hold as hyperscaler CapEx rises.
The most widely read finance newsletter on Substack isn't published by a bank, it's Doomberg, where 383,000+ readers get the energy and macro analysis the mainstream press misses. 24/7 Wall St. readers save 17% on their first year here. Micron Technology (NASDAQ:MU) and Sandisk (NASDAQ:SNDK) both just posted blowout memory quarters, but for very different reasons. Micron delivered $41.5 billion in fiscal Q3 revenue on the back of HBM and DRAM.
Sandisk followed weeks later with a NAND-only quarter that reset expectations. With Micron reporting again in late September, the near-term setup between the two looks sharply different. Micron's quarter was defined by AI memory.
Data center revenue exceeded $25 billion in fiscal Q3, an annualized run rate above $100 billion, and HBM4 shipments already topped $1 billion. CEO Sanjay Mehrotra called memory "a strategic asset" in the AI era, and the numbers back him up: gross margin hit 84.9% and operating margin 81.2%. Sandisk's Q4 was equally striking, just narrower in scope.
Revenue reached $8,965 million, driven roughly one-third by volume and two-thirds by pricing. Data center revenue jumped 103% sequentially. CEO David Goeckeler framed the shift bluntly: "We closed fiscal 2026 with a leading technology portfolio, established datacenter as a key growth pillar, and deepened our customer partnerships." Written by Insiders.
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