NEW YORK, December 30, 2025, 4:12 PM ET — After-hours
- Micron shares fell about 0.6% Tuesday, a day after the memory-chip maker closed at a record.
- The semiconductor ETF was little changed, pointing to selective profit-taking into year-end.
- Investors stayed focused on AI-driven memory tightness and what Fed policy means for tech valuations.
Micron Technology, Inc. shares ended down 0.6% on Tuesday at $292.74, a day after the memory-chip maker finished at a record $294.37. The stock traded between $298.53 and $292.03 during the session.
The dip matters because Micron has become a key gauge for the industry’s newest bottleneck: high-bandwidth memory, a fast type of DRAM used in AI systems. The iShares Semiconductor ETF was little changed on the day.
A shifting mix of demand is driving the debate. Research firm IDC said major suppliers have redirected capacity toward AI data-center parts such as HBM and high-capacity DDR5, a newer generation of memory used in PCs and servers, leaving less conventional supply for consumer devices and pushing up prices. IDC expects 2026 DRAM and NAND supply growth of 16% and 17%, respectively, below historical norms. 1
Micron’s outperformance earlier in the week highlighted the trade. Investopedia reported the stock led S&P 500 gainers in Monday afternoon trading even as technology shares and the broader index were down. 2
The rally has been underpinned by Micron’s upbeat outlook for the February quarter and beyond, with the company flagging tight memory markets and higher 2026 capital spending plans. Micron is one of three major suppliers of HBM chips alongside Samsung Electronics and SK Hynix — components that sit next to AI processors such as Nvidia’s in data-center systems. “AI-related demand remains the biggest driver for Micron,” said Kinngai Chan, an analyst at Summit Insights. 3
Options positioning has also stayed constructive. Data cited by Barchart showed March 20 contracts implying a potential upside level near $342, with a put/call ratio — a measure that compares bearish puts with bullish calls — skewed toward calls. 4
Micron has guided investors to a sharp sequential step-up in results: revenue of $18.70 billion plus or minus $400 million and adjusted earnings per share of $8.42 plus or minus 20 cents, the company said. Its board also declared a quarterly dividend of $0.115 per share, payable Jan. 14 to shareholders of record as of Dec. 29. 5
The rate backdrop is also in focus for chip valuations heading into 2026. Minutes from the Federal Reserve’s December meeting released Tuesday showed officials deeply split over the last rate cut and projecting just one more cut next year; key labor and inflation data are due Jan. 9 and Jan. 13 ahead of the Fed’s Jan. 27-28 meeting. 6
For Micron, investors are watching whether tight supplies translate into sustained pricing power for DRAM and NAND chips, and whether the company can expand output of HBM without squeezing margins. Any update on long-term supply contracts with big cloud buyers will be a key tell.
The next company-specific date on the calendar is Micron’s annual shareholder meeting on Jan. 15, scheduled to be held virtually, a filing shows.
After Tuesday’s slide, the stock remained below the $300 mark that traders often treat as a psychological level. Year-end positioning and early-January economic data are expected to set the tone for the next move.
