Shares of Micron Technology (NASDAQ: MU) rallied 16.5% this week through 12:30 p.m. ET Friday, according to data from S&P Global Market Intelligence.

Micron is one of only three major producers of DRAM memory, which is a key building block of all computing systems, and of course especially artificial intelligence (AI) systems. On Wednesday, the company released its fiscal second-quarter earnings report, which blew away expectations. Furthermore, guidance also showed strong sequential growth, as memory prices appear to be rocketing higher. It looks to be the beginning of a very strong up cycle.

In the second fiscal quarter, Micron reported $5.82 billion in revenue, well above the roughly $5.3 billion expected, while non-GAAP (adjusted) earnings per share flipped to positive territory for the first time in six quarters at $0.42, as opposed to expectations of a $0.28 loss.

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Source Fool.com