AI Dominates Market Moves as Micron, HPE, Amazon, Meta, and SpaceX Report Key Developments
Artificial intelligence remained the driving force behind market activity last week, with several major companies reporting significant developments. Micron Technology (MU) posted record fiscal fourth-quarter results, with revenue reaching $54.2 billion and NAND sales surging 526% year over year. The surge was attributed to strong AI data-center demand, which boosted storage and high-speed memory sales. Analysts from Deutsche Bank and Mizuho maintained bullish outlooks, with price targets set at $1,550 and $1,400 respectively, despite some margin pressure from higher costs.
Hewlett Packard Enterprise (HPE) saw its stock rise over 10% after raising its fiscal 2027 Networking revenue growth forecast to high-teens to low-20s, up from its earlier 5%-7% forecast. The company also expects operating margins to stay in the mid-to-high 20s through fiscal 2029. Daiwa upgraded HPE to Outperform and raised its price target to $75, citing strong demand for its products.
Amazon (AMZN) is reportedly considering an $8 billion deal for Nvidia AI chips, which could move some infrastructure assets off its balance sheet. The company also secured a 20-year deal to buy nuclear power from Constellation Energy’s Maryland facility, involving over $3 billion in infrastructure investment. Additionally, Amazon signed a multiyear agreement worth more than $1 billion with Synopsys to support its custom-chip efforts.
Meta Platforms introduced its lightest AI glasses yet, called Ray-Ban Meta Audio, weighing 43 grams and offering hands-free AI features. The company’s Muse AI assistant has rapidly gained users, with over 3 million weekly users sending at least one prompt. Despite these advancements, Meta’s stock fell 3% this week. Meanwhile, SpaceX CEO Elon Musk announced plans to rename the company’s AI unit from SpaceXAI to SpaceXSI, aligning with recent government terminology shifts.