Micron (MU) Stock Drops 3% - Should You Be Worried About YMTC?
TLDR
- Micron stock fell around 3.5% in Monday premarket trading as tech stocks pulled back broadly
- China’s Yangtze Memory Technologies (YMTC) filed for a $4.9 billion IPO in Shanghai
- YMTC grew its NAND flash market share from 8% to 13% in one year, nearly matching Micron
- Micron’s next earnings report is estimated for Sept. 22, with analysts projecting $50.78B in revenue
- Analysts hold a Buy consensus on MU with an average price target of $1,525
Micron Technology stock dropped around 3.5% in Monday premarket trading, with the stock sitting at roughly $933, as investors pulled back from high-beta tech names. Nasdaq futures fell 0.52% and S&P 500 futures slipped 0.13%, dragging momentum stocks lower across the board.
The move lower came on the same day China’s Yangtze Memory Technologies, known as YMTC, filed for a $4.9 billion initial public offering in Shanghai. That news added fresh competitive pressure to an already cautious morning for the sector.
YMTC focuses on NAND flash memory, which accounts for roughly a quarter of Micron’s total revenue. The rest of Micron’s business runs on DRAM, where YMTC has no overlap. That limits the direct competitive threat for now.
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