Micron Technology (MU) shares fell 4.7% in Tuesday premarket trading to $963.79, reversing course after briefly moving above the $1,000 mark on Monday for the first time since early July.

The decline came as rising Treasury yields weighed on semiconductor stocks more broadly. In early U.S. trading, SK Hynix — which together with Samsung Electronics and Micron dominates global DRAM production, the memory used in computers, smartphones, and data center servers — dropped 5.1% and Sandisk slipped 5.5%. Higher bond yields can raise financing costs and often create pressure for growth-oriented equities.

Micron had posted a strong session on Monday, rising 4.1% to finish at $1,011.75 and extending its advance to five consecutive sessions. On the same day, Sandisk gained nearly 9%, Western Digital rose 5.4%, Seagate added 2.2%, and the Roundhill Memory ETF (DRAM) climbed 5.4%.

Memory-focused stocks had pulled back from their June highs but regained momentum through August as the second-quarter earnings period concluded.

Bank of America names Micron a top pick

Bank of America analysts upgraded Micron to a “top pick” on Monday, saying the company’s profitability could come in well above current Wall Street expectations. The bank forecast fiscal 2030 earnings per share of $200 to $250, above the Street consensus of $160 to $170. Micron’s fiscal year ends in late August, placing that forecast roughly five fiscal years out.

Bank of America also pointed to Sandisk’s “durable growth outlook” as evidence that the memory chip sector may be entering a period of stronger structural demand. That would mark a break from the industry’s history: DRAM and NAND prices have long moved in boom-and-bust cycles, with shortages lifting prices and margins before supply gluts pulled them back down.

According to FactSet, analysts on average have a $1,549 price target on Micron shares, well above where the stock changed hands premarket. The stock has risen more than 700% over the past 12 months.

The rally has been supported by rapid cloud computing growth and heavy data center infrastructure spending by major technology companies, whose servers are among the largest consumers of DRAM and NAND flash. Some skeptics, however, argue that long-term demand expectations are already reflected in current valuations.

Another development drawing market attention is U.S. government pressure on Apple to stop buying memory chips from China-based manufacturers. A Senate committee has set August 21 as the deadline for Apple to respond to recommendations on the issue. Any shift in sourcing could benefit domestic suppliers such as Micron, the largest U.S.-based memory chipmaker.

Cramer sees more upside

CNBC’s Jim Cramer also voiced confidence in Micron’s outlook, saying, “I think Micron can double again before the boom comes to an end, assuming there’s no data center slowdown.”

Cramer pointed to share buybacks as another positive factor. Sandisk still has $15.5 billion of remaining buyback authorization, Seagate is carrying out a $5 billion repurchase program, and Western Digital approved an additional $4 billion authorization earlier this year. Repurchases shrink the number of shares outstanding, which can lift per-share earnings over time.

Cramer’s Charitable Trust, which underpins CNBC’s Investing Club portfolio, recently initiated a position in Micron.

The August 21 Senate deadline for Apple’s response on memory chip sourcing remains the nearest near-term catalyst for memory semiconductor stocks. Micron’s fiscal year closes at the end of August, and the company has typically reported fiscal fourth-quarter results in late September, the next scheduled look at how memory demand is holding up.