What Wall Street Expects From Micron (MU) Stock After the 18% Dip

TLDR

Table of Contents

Micron (MU) stock trades near $1,029, down 0.66% on Monday and 18% below its $1,255 record close from June 25.
Put volume in the SMH chip ETF ran well above call volume, and insiders sold $90.9 million of stock in three months.
Fiscal fourth-quarter revenue jumped 379% to $54.23 billion, and EPS of $33.42 beat the $31.77 estimate.
Analysts carry a “Moderate Buy” rating with a $1,407.88 average target, and Rosenblatt raised its target to $1,900.
On the chart, MU sits at a $1,035 key level, RSI is 50 and MACD has turned lower.

Micron Technology (MU) stock changed hands near $1,029 on Monday, down 0.66%. That puts it 18% below the record close of $1,255 set on June 25.

Micron Technology, Inc., MU

The stock opened at $1,054 and dipped as low as $1,017. Volume reached 19.9 million, below the 32.5 million average.

Market value is about $1.2 trillion. The 52-week range runs from $186 to $1,255.

Chart analysis

The daily chart shows MU range-bound since its June peak. It bounced from near $740 in late July, climbed along a rising trendline and topped out around $1,100 in late September. Price has now slipped under the $1,035 key level, which has turned into resistance, and the trendline sits just below near $1,016. The next major support is $900.

RSI reads 50.20, a neutral level after dropping from the 60s earlier this month. MACD sits at 22.36 against a signal line of 28.68, with the histogram at -6.32. That is a bearish crossover and points to fading momentum.

What to watch: A close below the trendline could open the door to $900. A reclaim of $1,035 keeps the uptrend structure intact and brings $1,100 back into view.

Chip Options and Insider Sales Weigh

Traders have grown cautious on chips. Put volume in the SMH ETF ran well above call volume, a sign of hedging or bearish bets.

Samsung posted record profit, but its growth slowed. Softer OpenAI revenue data also rattled AI and memory names.

A Taiwan union has approved strike action at Micron over a bonus dispute. Insiders have been sellers too.

CEO Sanjay Mehrotra sold 40,000 stock units on August 21 at an average of $968.90, worth $38.8 million. Total insider sales hit $90.9 million over three months.

Earnings and Analyst Targets

Micron reported on September 30. Revenue of $54.23 billion beat the $51.33 billion estimate.

EPS of $33.42 topped the $31.77 consensus. Guidance for fiscal first quarter 2027 calls for EPS of $37.15 to $39.15.

More than 75% of fiscal 2027 shipments are reportedly committed. HBM chips need three times the wafer capacity of standard DRAM, which has tightened supply.

Analysts expect revenue and EPS to grow 55% and 67% a year through fiscal 2028. The stock trades at about six times this year’s expected earnings.

Wall Street has one Strong Buy, 41 Buy and four Hold ratings. Rosenblatt raised its target from $1,500 to $1,900 on October 1.

Micron goes ex-dividend on Wednesday, October 14, for a $0.15 payout. It will be paid on October 29.