Shares of Micron Technology Inc. (MU) hot up 6.0% to a 16-year high in active morning trade Tuesday.
Micron was the second-biggest gainer within the S&P 500. Volume hit 25.5 million shares. This was enough to make the stock the second-most actively traded on the Nasdaq exchange. Fellow chip maker Advanced Micro Devices Inc.’s stock was the most actively traded.
Micron is scheduled to report fiscal first-quarter results on Thursday, before the market opens.
The MU stock rally comes after Intel Corp. (INTC) and AMD both reported last week earnings and revenue that beat expectations.
Furthermore, the shares of many chip companies benefited from a report that South Korean electronics giant Samsung said that they expect a tight supply of DRAM and NAND flash to continue into next year.
Meanwhile, MU announced the release of a full portfolio of edge storage solutions for video surveillance. These products will enable new deployment models and reduce total cost of ownership for both commercial and enterprise use cases. At the same time the company announced collaborations with the Shenzhen Security and Protection Industry Association (SSPIA). The companies intend to speed deployment of the new Micron-based solutions regionally.
“The video surveillance industry is unique as its customers demand consistent recording performance over years of use.” This according to Micron’s vice president of the Embedded Business Unit. “Edge storage improves the economics of this high-growth market and delivers value for camera OEMs, system integrators and end customers by improving video quality and increasing network reliability. Our collaborations with the industry association in Shenzhen will help ensure that Micron is aligned with industry standards while expanding its storage offerings and presence in China and beyond.”