Sep 28 (Businesshala) – Micron Technology Inc. (MU.O) on Tuesday forecast first-quarter revenue below Wall Street estimates, as a shortage of chip-making materials was coming to grips with the memory chip maker.
According to Refinitiv’s IBES data, the company estimates revenue of $7.65 billion, plus or minus $200 million in the current quarter, compared to analysts’ average expectation of $8.57 billion.
Shares of Boise, the Idaho-based company, fell about 5% in extended trading.
Micron, which makes both NAND memory chips serving the data storage market, and DRAM memory chips, which are widely used in data centers, personal computers and other devices, benefited from the pandemic due to the shift to remote work.
However, a weak forecast from Micron, one of the world’s largest memory chip suppliers, indicates a lackluster demand for the chips in some end markets such as PCs, as most of the hybrid work shift has already taken place.