Wall Street staged a powerful comeback Thursday as Micron Technology's blowout earnings reignited the AI trade, with chip stocks adding over $400 billion in market value. The Dow Jones Industrial Average flirted with all-time highs even as Apple dragged on the S&P 500 and Nasdaq.

Micron delivered the strongest quarter in its history, posting Q3 revenue of $41.46 billion — a 16.2% beat — and EPS of $25.11 versus the $20.49 estimate. Shares surged nearly 14% in...