Micron Drops 5.95% to $681.54 as AI Rally Valuation Fears Hit Chip Stocks
Updated
Updated · The Motley Fool · May 18
Micron Drops 5.95% to $681.54 as AI Rally Valuation Fears Hit Chip Stocks
6 articles · Updated · The Motley Fool · May 18
Micron closed at $681.54 on Monday, down 5.95%, after reversing early gains in a broader semiconductor sell-off.
58.7 million shares changed hands—about 33% above Micron's three-month average—as investors weighed stretched AI-driven valuations, Samsung strike headlines and China exposure against memory-demand optimism.
The pullback underscored how quickly sentiment can swing for memory makers, with DRAM and NAND pricing expectations tied to AI server demand, supply risks and margin outlooks.
Micron's next earnings report is set to test whether demand for HBM and AI-focused DRAM products, including its new 256GB DDR5 RDIMM, can keep supporting pricing and gross margins.
Is Micron's stock dip a valuation reality check or a rare chance to buy into a historic AI memory boom?
With AI devouring memory chips, will your next phone and laptop be delayed or become significantly more expensive?