Micron Technology, Inc. (NASDAQ:MU) stock traded lower Thursday morning, even as U.S. stock futures pointed slightly higher. Nasdaq futures rose 0.07%, while S&P 500 futures gained 0.18%.
AI Storage Demand Boosts NAND Market
Micron’s premarket decline comes despite a favorable industry backdrop. The company is benefiting from a shift toward higher-value NAND products as artificial intelligence fuels demand for enterprise storage, according to Counterpoint Research.
Enterprise solid-state drives accounted for 48% of global NAND shipments in the second quarter, nearly double their 26% share a year earlier. Counterpoint said rising AI inference demand tightened supply and helped push industry revenue to record levels.
Micron Holds 13% Of NAND Shipments
Micron held about 13% of NAND shipments. It trailed Samsung Electronics Co., Ltd. (OTC:SSNLF), SK hynix Inc. (NASDAQ:SKHY), privately held Yangtze Memory Technologies Co., or YMTC, and Kioxia Holdings Corporation.
However, Micron remained ahead of YMTC by revenue despite the Chinese rival capturing a larger 14% shipment share. Sandisk Corporation (NASDAQ:SNDK) held an 11% shipment share.
Premium NAND Mix Could Drive Profitability
Counterpoint said NAND profitability through 2027 will increasingly depend on selling the right mix of higher-value products rather than simply shipping more bits. That trend could favor suppliers with greater exposure to premium enterprise storage as AI infrastructure expands.
Against that backdrop, Micron’s Thursday decline puts more focus on technical levels following the stock’s recent consolidation.
Micron Technical Analysis
Micron traded 3.4% above its 20-day simple moving average of $879.08. However, it remained 5.8% below its 50-day SMA of $965.16.
The longer-term trend remains stronger. Micron traded 18.5% above its 100-day SMA of $767.27 and 66.8% above its 200-day SMA of $545.19.
The relative strength index stood at 50.23. An RSI near 50 signals neutral momentum, meaning neither buyers nor sellers have a clear advantage.
Micron’s 20-day SMA remains below its 50-day SMA, a bearish short-term signal. However, its 50-day SMA remains above the 200-day SMA, supporting the longer-term bullish trend.
- Key resistance: $1,012.
- Key support: $891.50, near the 20-day exponential moving average of $891.82.
Micron Earnings And Analyst Outlook
Micron’s next earnings report is estimated for Sept. 22.
Wall Street expects earnings of $31.27 per share, up from $3.03 a year earlier. Revenue is projected at $50.81 billion, compared with $11.31 billion a year ago.
Micron carries a Buy consensus rating and an average price forecast of $1,537.50. Recent analyst actions include:
- Citigroup: Buy, lowered price forecast to $1,150 on Aug. 7.
- KeyBanc: Overweight, raised price forecast to $1,750 on July 14.
- Cantor Fitzgerald: Overweight, raised price forecast to $2,000 on June 29.
Benzinga Edge Rankings
Micron scores strongly across several Benzinga Edge measures. Its Momentum score stands at 99.59, Quality at 97.41 and Growth at 91.47. Its Value score is lower at 34.24.
The rankings point to strong momentum, quality and growth, while valuation remains the weaker part of the profile.
MU Price Action
MU Stock Price Activity: Micron Technology shares were down 0.72% at $904.75 during premarket trading on Thursday, according to Benzinga Pro data.
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