Key points
- LSEG ranked Micron first in contribution to Q2 earnings growth
- FactSet's ranking puts two companies ahead of Micron
- Micron's guidance implies adjusted EPS about ten times the year-earlier level
Micron Technology (MU) has become one of the biggest sources of profit growth in the S&P 500, and two data providers ranked the chipmaker ahead of Nvidia (NVDA) for the second quarter. Micron reports fiscal fourth-quarter results on Wednesday, September 30.
Where the rankings differ
For the second quarter, LSEG ranked Micron as the largest single contributor to S&P 500 earnings growth. The memory-chip maker "grew earnings by more than 1,200%, contributing 4.66 percentage points to the index's 24.4% earnings growth rate," LSEG's Tajinder Dhillon wrote, using figures as of July 2. He added that Micron and Nvidia together accounted for "nearly 40% of total S&P 500 earnings growth this quarter."
FactSet reached a different order. "The top five contributors to earnings growth for the S&P 500 for Q2 2026 are (in order) Alphabet, Amazon.com, Micron Technology, NVIDIA, and Chevron," FactSet's John Butters wrote in an August 28 report.
The rankings use different reporting dates and earnings measures. FactSet included GAAP earnings for Alphabet and Amazon, including large investment gains, while using adjusted earnings for Micron and Nvidia. Both providers ranked Micron ahead of Nvidia. The difference is whether Alphabet and Amazon rank above Micron.
What Micron has guided for
Micron's June 24 earnings release guided fiscal fourth-quarter revenue to $50.0 billion, plus or minus $1.0 billion, with a gross margin of about 86%. Micron guided adjusted earnings to $31.00 a share, plus or minus $1.00, and GAAP earnings to $30.73 a share.
A year earlier, Micron earned $3.03 a share on an adjusted basis on revenue of $11.32 billion. At the midpoint, the guidance implies adjusted EPS about 10 times the year-earlier level and revenue growth of about 340%, by our arithmetic. The quarter covers June through August.
Nvidia's most recent quarter, reported August 26, brought revenue of $96.2 billion, up 106% from a year earlier. Nvidia guided its current quarter to $108.0 billion, plus or minus 2%. FactSet's average analyst estimate for Nvidia's earnings that quarter rose to $2.47 a share as of September 25, from $2.35 at the end of June.
For the S&P 500 as a whole, FactSet estimated third-quarter earnings growth of 29.1% as of September 25, up from 26.7% at the end of June. FactSet expects semiconductor companies to grow earnings 126%.
The shares
Micron closed at $1,082.28 on Friday, about 11% below its June 25 closing high of $1,213.56, by our arithmetic. Nvidia closed at $225.07. We compared Micron with the other big memory makers in our memory stocks guide, and covered why memory stocks peaked in June even as prices kept rising.
