TECH - Micron Shares Slipping 8% After Hours 'Bad News' But 'Good News' Is The AI Trade Is Intact Says Gene Munster | Benzinga

Micron Technology Inc. (NASDAQ:MU) experienced a significant drop of nearly 8% in after-hours trading, following its latest earnings report. However, Gene Munster, the managing partner at Deepwater Asset Management, remains optimistic about the company’s AI prospects.

What Happened: Munster on X, pointed out that the pressure point of High Bandwidth Memory revenue, which accounts for 2% of the total revenue, is lower than in previous quarters. He predicted a 10-15% increase in HBM revenue for the next year. “Good news is the AI trade is intact,” he said.

He explained that the earnings report was not impressive enough to excite fast-money investors, leading to the stock sell-off. However, Micron’s AI story remains intact, with an 82% year-over-year growth and a projected 90% growth in line with the Street’s expectations.