Micron forecasts that memory demand will exceed supply in calendar 2027 and 2028, with industry conditions tighter than in 2026. The company made the forecast during its FY2026 earnings call. Sanjay Mehrotra, Micron’s CEO and chair, said the company cannot see when supply and demand will return to balance.
Micron’s FY2026 results set the backdrop for the call; the earlier coverage details those results.
Shipment growth will not remove the expected supply constraints
Micron expects shipments of DRAM and NAND to grow in the low-to-mid-20% range over the next two years. It still expects supply constraints in both years. The company also said it had already sold most of its capacity for the following year.
Micron expects shipments of HBM, or high-bandwidth memory, to grow faster than conventional DRAM shipments, reflecting demand from AI data centers.
Micron’s FQ1 FY2027 guidance
Micron’s outlook for its first fiscal quarter of 2027 includes revenue and gross-margin guidance, as well as estimates for other financial measures. Gross margin is the share of revenue remaining after the cost of goods sold.
| Measure | FQ1 FY2027 guidance or estimate |
| Revenue | $61.5 billion, guidance |
| Gross margin | 86.25%, guidance |
| Diluted earnings per share | $38.15 ± $1.00, guidance |
| Operating expenses | $2.06 billion, estimate |
| Tax rate | Around 15.5%, estimate |
| Share count | Approximately 1.15 billion shares, estimate |
