Micron Technology (NASDAQ:MU) Shares Down 5.6% – Here’s What Happened

Micron Technology, Inc. (NASDAQ:MU)’s share price traded down 5.6% on Friday. The company traded as low as $875.00 and last traded at $878.84. 30,080,812 shares were traded during mid-day trading, a decline of 27% from the average daily volume of 41,143,539 shares. The stock had previously closed at $931.24.

More Micron Technology News

Here are the key news stories impacting Micron Technology this week:

• Positive Sentiment: Analysts and investors continue to identify Micron as a potential buying opportunity after its retreat from its June peak. Bullish arguments include strong pricing power, AI-driven demand for high-bandwidth memory (HBM), long-term customer agreements and a $35 billion share-repurchase authorization. Why Micron Stock’s Drop Is Triggering Buy the Dip Calls
• Positive Sentiment: Micron’s latest results provide fundamental support: fiscal fourth-quarter revenue reached approximately $54.2 billion, above the high end of management’s outlook, while full-year revenue reportedly rose to $133.2 billion. Management expects supply constraints to persist through 2028, and continued AI infrastructure investment could support HBM and data-center storage demand. Micron Stock Is 25% Below Its June Record
• Positive Sentiment: Micron pledged $50 million toward U.S. memory research, reinforcing its strategic importance to domestic semiconductor production and advanced-memory development. Micron Pledges $50 Million for U.S. Memory Research
• Neutral Sentiment: ASML’s report that semiconductor-equipment demand is booked well into 2030 is constructive for Micron’s capacity expansion and HBM4 ambitions, although additional manufacturing investment also increases execution and capital-spending requirements. ASML Delivered News for Micron Investors
• Negative Sentiment: The immediate pressure is concentrated in fears that China’s CXMT is advancing in DDR5, LPDDR5X and server memory. Investors worry that greater Chinese competition could eventually erode pricing and margins, even though Micron remains better positioned in higher-end HBM. Memory Stocks Face China and Oversupply Concerns
• Negative Sentiment: A broader AI-stock selloff is raising questions about whether data-center spending can generate sufficient returns and whether heavily financed “neocloud” companies can survive. Inflation and the prospect of higher interest rates are adding to pressure on high-growth technology shares. AI Trade Takes Another Hit

Analyst Upgrades and Downgrades

A number of analysts recently commented on the stock. Zacks Research raised shares of Micron Technology from a “hold” rating to a “strong-buy” rating in a report on Tuesday, October 6th. BNP Paribas Exane boosted their price target on Micron Technology from $615.00 to $1,700.00 and gave the stock an “outperform” rating in a research note on Thursday, June 25th. TD Cowen restated a “buy” rating and issued a $1,600.00 price target on shares of Micron Technology in a report on Thursday, October 1st. Needham & Company LLC reaffirmed a “buy” rating and issued a $1,650.00 price objective on shares of Micron Technology in a research note on Thursday, October 1st. Finally, Wedbush reaffirmed an “outperform” rating and set a $1,400.00 price objective on shares of Micron Technology in a report on Monday, September 28th. One research analyst has rated the stock with a Strong Buy rating, forty-one have given a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, Micron Technology presently has an average rating of “Moderate Buy” and an average price target of $1,407.88.

Micron Technology Trading Down 5.6%

The business’s 50-day simple moving average is $985.86 and its 200-day simple moving average is $861.12. The company has a market cap of $994.34 billion, a price-to-earnings ratio of 11.84, a PEG ratio of 0.16 and a beta of 2.22. The company has a debt-to-equity ratio of 0.03, a current ratio of 3.31 and a quick ratio of 2.94.

Micron Technology (NASDAQ:MU) last posted its earnings results on Wednesday, September 30th. The semiconductor manufacturer reported $33.42 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $31.77 by $1.65. The firm had revenue of $54.23 billion for the quarter, compared to analyst estimates of $51.33 billion. Micron Technology had a return on equity of 92.62% and a net margin of 63.80%. Micron Technology’s revenue was up 379.1% on a year-over-year basis. During the same quarter in the prior year, the company earned $3.03 EPS. Micron Technology has set its Q1 2027 guidance at 37.150-39.150 EPS. Research analysts predict that Micron Technology, Inc. will post 177.03 earnings per share for the current fiscal year.

Micron Technology Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 29th. Shareholders of record on Wednesday, October 14th will be paid a $0.15 dividend. This represents a $0.60 annualized dividend and a yield of 0.1%. The ex-dividend date of this dividend is Wednesday, October 14th. Micron Technology’s payout ratio is presently 0.81%.

Insider Transactions at Micron Technology

In other news, CEO Sanjay Mehrotra sold 40,000 shares of Micron Technology stock in a transaction on Friday, August 21st. The stock was sold at an average price of $968.90, for a total value of $38,756,000.00. Following the completion of the sale, the chief executive officer owned 264,503 shares of the company’s stock, valued at $256,276,956.70. The trade was a 13.14% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CAO Scott Allen sold 879 shares of the stock in a transaction dated Thursday, July 23rd. The stock was sold at an average price of $1,000.00, for a total value of $879,000.00. Following the transaction, the chief accounting officer owned 34,958 shares in the company, valued at $34,958,000. This trade represents a 2.45% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 95,879 shares of company stock worth $90,939,466 over the last quarter. 0.24% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Micron Technology

A number of large investors have recently bought and sold shares of MU. Denali Advisors LLC acquired a new stake in Micron Technology during the 2nd quarter valued at approximately $7,364,000. Castleark Management LLC purchased a new position in shares of Micron Technology during the 1st quarter valued at approximately $3,709,000. Oppenheimer & Co. Inc. grew its position in shares of Micron Technology by 16.0% during the second quarter. Oppenheimer & Co. Inc. now owns 48,520 shares of the semiconductor manufacturer’s stock worth $56,006,000 after buying an additional 6,702 shares in the last quarter. Legacy Wealth Management LLC MS increased its stake in shares of Micron Technology by 73.3% in the second quarter. Legacy Wealth Management LLC MS now owns 3,544 shares of the semiconductor manufacturer’s stock worth $4,091,000 after buying an additional 1,499 shares during the last quarter. Finally, Franklin Street Advisors Inc. NC increased its stake in shares of Micron Technology by 2,461.4% in the second quarter. Franklin Street Advisors Inc. NC now owns 37,141 shares of the semiconductor manufacturer’s stock worth $42,871,000 after buying an additional 35,691 shares during the last quarter. Hedge funds and other institutional investors own 80.84% of the company’s stock.

About Micron Technology

Micron Technology, Inc is a semiconductor company that develops and manufactures memory and storage solutions. Its product portfolio includes dynamic random-access memory (DRAM), NAND flash memory, three-dimensional XPoint-related technologies, solid-state drives, and high-bandwidth memory products designed for demanding computing applications.

The company serves customers across the data center, artificial intelligence, networking, automotive, industrial, mobile, consumer electronics, and embedded markets.