Micron Technology (NASDAQ:MU) Trading Down 13.2% – Time to Sell?

Micron Technology, Inc. (NASDAQ:MU) dropped 13.2% on Tuesday . The stock traded as low as $1,038.50 and last traded at $1,051.77. 58,353,757 shares were traded during mid-day trading, an increase of 30% from the average session volume of 44,825,895 shares. The stock had previously closed at $1,211.38.

Key Stories Impacting Micron Technology

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

• Positive Sentiment: Micron announced a strategic agreement with Anthropic covering memory and storage supply, AI infrastructure design, and a strategic investment, reinforcing long-term demand for its products. Reuters article
• Positive Sentiment: Analysts continued to raise price targets ahead of earnings, including BofA and Needham, signaling confidence that AI-driven memory demand and tight supply can support further upside. Yahoo Finance article
• Positive Sentiment: Multiple articles highlighted ongoing memory shortages, elevated pricing, and strong expectations for Q3 revenue and margins, which could make the upcoming report a major catalyst if Micron meets or exceeds the high bar. Zacks article
• Neutral Sentiment: Options traders are pricing in a large post-earnings move, showing that expectations are extremely elevated and volatility could stay high through the report. TipRanks article
• Negative Sentiment: The broad tech and memory-chip selloff, driven by profit-taking and concerns about massive AI spending and rising interest-rate risk, is weighing on MU shares despite the company’s strong fundamentals. MarketWatch article

Analysts Set New Price Targets

MU has been the subject of several analyst reports. Stifel Nicolaus increased their price objective on Micron Technology from $550.00 to $1,500.00 and gave the stock a “buy” rating in a research note on Thursday, June 18th. Susquehanna lifted their target price on Micron Technology from $600.00 to $1,750.00 and gave the company a “positive” rating in a research report on Friday, May 29th. TD Cowen upped their price target on Micron Technology from $660.00 to $1,500.00 and gave the stock a “buy” rating in a report on Monday, June 15th. Wells Fargo & Company increased their price target on Micron Technology from $550.00 to $1,220.00 and gave the company an “overweight” rating in a research report on Monday, June 8th. Finally, Mizuho raised their price objective on Micron Technology to $800.00 and gave the company an “outperform” rating in a research note on Tuesday, May 19th. Five analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Buy” and a consensus price target of $1,008.13.

Micron Technology Stock Performance

The company has a 50-day simple moving average of $763.89 and a two-hundred day simple moving average of $502.03. The company has a quick ratio of 2.32, a current ratio of 2.90 and a debt-to-equity ratio of 0.13. The firm has a market cap of $1.19 trillion, a PE ratio of 49.66 and a beta of 2.15.

Insiders Place Their Bets

In other news, CEO Sanjay Mehrotra sold 37,439 shares of Micron Technology stock in a transaction on Friday, May 29th. The stock was sold at an average price of $960.38, for a total transaction of $35,955,666.82. Following the sale, the chief executive officer directly owned 387,064 shares in the company, valued at $371,728,524.32. The trade was a 8.82% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Steven J. Gomo sold 2,000 shares of the business’s stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $787.03, for a total transaction of $1,574,060.00. Following the completion of the transaction, the director directly owned 17,139 shares in the company, valued at $13,488,907.17. This trade represents a 10.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 146,000 shares of company stock valued at $85,486,715. 0.24% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Micron Technology

Institutional investors have recently bought and sold shares of the company. Brighton Jones LLC increased its holdings in Micron Technology by 18.3% in the 4th quarter. Brighton Jones LLC now owns 6,318 shares of the semiconductor manufacturer’s stock worth $532,000 after acquiring an additional 976 shares during the last quarter. Sivia Capital Partners LLC lifted its holdings in Micron Technology by 21.7% during the second quarter. Sivia Capital Partners LLC now owns 3,528 shares of the semiconductor manufacturer’s stock valued at $435,000 after purchasing an additional 628 shares during the last quarter. United Bank bought a new position in Micron Technology during the second quarter worth about $236,000. Schnieders Capital Management LLC. boosted its position in Micron Technology by 67.9% during the second quarter. Schnieders Capital Management LLC. now owns 16,984 shares of the semiconductor manufacturer’s stock worth $2,093,000 after purchasing an additional 6,867 shares during the period. Finally, Sei Investments Co. increased its stake in shares of Micron Technology by 5.6% in the second quarter. Sei Investments Co. now owns 405,545 shares of the semiconductor manufacturer’s stock worth $49,987,000 after purchasing an additional 21,619 shares in 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 global semiconductor company that designs and manufactures memory and storage solutions. Its product portfolio includes dynamic random-access memory (DRAM), NAND flash memory, solid-state drives (SSDs), memory modules and embedded memory solutions for a wide range of computing and electronic devices. Micron supplies components used in data centers, enterprise and cloud infrastructure, client computing, mobile devices, automotive systems and industrial applications, and also markets consumer-facing products under the Crucial brand.

Founded in 1978 and headquartered in Boise, Idaho, Micron has grown into an international manufacturer with research, development and production facilities across multiple regions.