Micron Technology posted a staggering 1,400% year-over-year profit increase for its fiscal year ending August 2025, with total revenue reaching $37.4 billion — nearly 49% above the prior year. Gross margins came in at 39.8% and net margins at 22.8%, reflecting the sharp pricing recovery in DRAM and NAND as AI infrastructure spending pulled forward massive HBM demand. Diluted EPS landed at $7.59 for the full fiscal year.

The numbers confirm what bulls have argued for over a year: Micron is the primary memory supplier riding the AI training and inference buildout, with HBM3E shipments ramping to hyperscalers including NVIDIA's GB200 supply chain. The magnitude of the recovery — from near-zero margins in FY2023 — is historically rare in the semiconductor cycle.

The key tension now is valuation versus the cycle. Shares hitting a fresh high on this print means the market is pricing forward momentum, not trailing results. Memory cycles are notoriously boom-bust, and if hyperscaler capex pauses or HBM pricing erodes as Samsung and SK Hynix ramp capacity, Micron's margins compress quickly.

What to watch next: Q1 FY2026 guidance, HBM allocation mix and ASPs in the upcoming earnings call, and any commentary on supply additions from Korean competitors. The bull case is that AI infrastructure spending keeps HBM supply structurally tight through 2026; the bear case is that the stock is now priced for perfection at a cyclical peak.