Key Takeaways

Micron shares fell 5.29% to $852.61 in Tuesday premarket trading, extending Monday’s 2.25% decline.

South Korea’s KOSPI Index dropped 11% overnight, adding pressure to semiconductor stocks globally.

Reports of a Chinese firm manufacturing immersion deep ultraviolet lithography equipment unsettled investors.

On Monday, Sandisk fell 11% and AMD lost more than 5%, with selling accelerating into Tuesday’s session.

Wall Street still maintains a Buy consensus on Micron, with an average target price of $1,548.86.

Shares of Micron Technology, Inc. (MU) traded at $852.61 in premarket activity Tuesday, a 5.29% drop that added to Monday’s 2.25% decline as selling pressure intensified across AI-focused memory chip makers.

Technology-sector sentiment weakened sharply. Nasdaq futures pointed to a 1.1% lower open on Tuesday morning, while South Korea’s KOSPI Index fell 11% overnight. The move followed Monday’s weakness in U.S. markets and set a negative tone for the session ahead.

Micron had shown relative resilience in Monday’s trading compared with some peers. Sandisk plunged 11%, while AMD fell more than 5% during that session. By Tuesday’s premarket, however, the downturn had broadened across the sector, with Micron, Sandisk, and Western Digital each declining by about 7%.

China-related developments were central to the selloff. Market participants reacted to reports that a Chinese manufacturer has begun producing immersion deep ultraviolet lithography systems, a technology currently dominated by the Netherlands-based ASML. The development stoked concern across semiconductor markets, where equipment availability and domestic competition remain closely watched by investors.

Chinese memory chipmaker CXMT also drew attention after surging 466% in its Shanghai Stock Exchange debut, briefly becoming mainland China’s highest-valued company at $484 billion. In its second trading session, CXMT gave back 4%.

Deutsche Bank strategist Jim Reid told the Financial Times that renewed concerns about AI infrastructure spending, combined with the threat of lower-cost Chinese alternatives, helped trigger the latest wave of semiconductor stock selling.

Industry Pressure Builds

SK Hynix fell 7.47% in the previous session and has now erased nearly 47% from its June high. That decline has unsettled the broader AI memory investment thesis and raised fresh questions about whether demand for high-bandwidth memory can support current valuation levels.

Samsung Electronics and Kioxia have also been under pressure, alongside CXMT.

Micron still trades well above longer-term trend measures, sitting 19.4% above its 100-day moving average and 68.8% above its 200-day simple moving average. That suggests the broader uptrend remains intact. At the same time, short-term momentum has turned lower. The stock is 11.5% below its 20-day simple moving average and 10.8% under its 50-day simple moving average.

The Relative Strength Index stands at 45.31, which is in neutral territory and indicates the stock has not reached oversold conditions, even as buying interest has eased.

Investors are watching the $804 level as an important support area, where buying had previously emerged.

Analysts Stay Positive

Despite recent volatility, Wall Street analysts have kept a constructive view on Micron. The stock currently carries a consensus Buy rating, with an average price target of $1,548.86, well above current trading levels.

Recent analyst moves have reinforced that stance. KeyBanc raised its price target to $1,750 on July 14, while Cantor Fitzgerald set an even higher target of $2,000 on June 29.

Micron accounts for 8.03% of the iShares Semiconductor ETF and 9.78% of the Invesco PHLX Semiconductor ETF, meaning exchange-traded fund redemptions can amplify downside moves during periods of sector weakness.

Even after the latest decline, Micron stock remains up more than 200% in 2026.