Key Takeaways
- Micron (MU) declined 2.1% Thursday following a 10.6% plunge the previous day, even as President Trump lauded the company on Truth Social.
- Trump highlighted Micron’s $250 million commitment to Trump Accounts, describing it as a “HISTORIC” contribution.
- The decline reflects a broader memory chip sector downturn, with SanDisk (SNDK) falling 10% and Western Digital (WDC) dropping over 10%.
- South Korea’s KOSPI index plummeted 7.9%, while SK Hynix tumbled 14.6% and Samsung declined 9.1%.
- Year-to-date, MU remains up approximately 262% in 2026, with Q3 results surpassing analyst projections on all metrics.
Micron Technology (MU) traded down 2.1% Thursday morning at roughly $1,007 per share, extending a severe 10.6% decline from the previous session — and even a presidential endorsement couldn’t stem the bleeding.
On Wednesday, President Trump took to Truth Social to describe Micron as “one of the HOTTEST anywhere in the World,” applauding CEO Sanjay Mehrotra’s $250 million commitment to Trump Accounts. These tax-advantaged savings programs benefit children under 18, with those born from 2025-2028 receiving a $1,000 government deposit.
Trump doubled down Thursday with another post: “How about this? Micron, a GREAT American Company, announced that they are putting in 250 Million Dollars into the Trump Accounts for the future benefit of children.”
Investors’ reaction? Continued selling pressure.
This extends beyond Micron alone. The entire memory semiconductor space is experiencing headwinds. SanDisk (SNDK) dropped approximately 10%, Western Digital (WDC) fell more than 10%, and the iShares Semiconductor ETF (SOXX) retreated after posting a 6.19% weekly advance.
International markets felt the pain as well. South Korea’s KOSPI benchmark closed down 7.9% Thursday. SK Hynix plummeted 14.6% while Samsung shed 9.1%. Intel and Nvidia shares also declined.
Taking Chips Off the Table After Massive Gains
Perspective is critical. MU has skyrocketed approximately 262% during 2026, and roughly 754% over the trailing twelve months. The stock began this week trading at premium valuations.
Prediction markets on Polymarket showed 98.5% probability of a down session before Thursday’s opening bell. Market participants anticipated the pullback.
Insider transactions also warrant attention. CEO Mehrotra divested $32.7 million in shares on June 26 through a pre-arranged 10b5-1 trading plan, executed near 52-week highs. While these sales follow predetermined schedules, the timing at elevated prices raises eyebrows.
The Business Performance Reality
Micron’s fiscal Q3 2026 results, announced June 24, demonstrated substantial strength. Revenue reached $41.46 billion, surging 345.7% year-over-year and exceeding consensus by 17.6%. Non-GAAP earnings per share printed at $25.11 against the $20.28 estimate — marking the seventh consecutive quarterly beat. GAAP gross margin widened dramatically to 84.6% from 37.7% in the prior-year period.
For Q4, management projects revenue of $50 billion with EPS of $31.00.
During the earnings call, Mehrotra disclosed that Micron has executed 16 Strategic Customer Agreements representing approximately 25% of total revenue. Fourteen of these agreements are projected to generate roughly $100 billion in cumulative floor-price revenue.
Additionally, the company maintains $22 billion in customer cash deposits and letters of credit backing take-or-pay obligations. HBM4 shipments have already surpassed $1 billion, scaling twice as quickly as the HBM3E 12-high rollout.
The $250 million Trump Accounts contribution has no direct impact on Micron’s financial performance. What truly matters is the transition to multi-year supply agreements and accelerating HBM adoption — and both narratives remain firmly in place.
MU last changed hands around $1,007, declining 2.64% intraday.
