Micron topped lofty earnings expectations. Wall Street sees even more momentum as chipmaker announces a slew of deals

Micron delivered a strong earnings beat on Wednesday in addition to unveiling a slew of new deals that have analysts even more excited about the stock's future. The company's fiscal third-quarter earnings and revenue both topped consensus estimates. On top of that, Micron issued revenue guidance for the current quarter that was ahead of estimates. Micron executives also revealed that the company had signed 16 deals with data center operators, automakers and other clients for sales that are scheduled to occur over the next three to five years. Those long-term agreements are expected to bring in $22 billion, according to the company. Micron stock rose roughly 18% in premarket trading on Thursday. "MU delivered another strong quarter, reinforcing our constructive view on memory's role in AI and the increasing supply-side discipline supporting a more durable cycle," Bank of America analyst Vivek Arya said Wednesday in a note to clients. "While strategic customer agreements (SCAs)—now 16, up from last quarter—may modestly cap near-term pricing upside, they materially enhance visibility and reduce volatility by aligning with customers facing a rising 'memory tax.'" Arya has a buy rating on Micron. He also raised his price target on shares to $1,550 from $1,500, suggesting 48% upside from Wednesday's close. Shares of Micron have surged 724% over the past year, largely due to rising memory chip prices tied to the artificial intelligence boom. …