Micron Technology Stock Has Stumbled, but Here's Why I'm Not Buying the Dip - The Globe and Mail

Micron Technology, a leading supplier of high-bandwidth memory (HBM), has benefited significantly from the AI boom, with its stock soaring in Q3 2026. Despite a 21% drop from its June highs and attrac... Read original →

Micron's recent pullback signals a saturation phase in the AI-driven demand for high-bandwidth memory. As Nvidia, Microsoft, and others ramp up AI hardware investments, HBM supply chains are shifting from monopolistic to diversified, intensifying competition. Regulatory constraints in Taiwan, China and Hong Kong, China are disrupting procurement timelines for critical data center components. Competitors like SK Hynix and Samsung are expanding capacity rapidly to capture market share. Over the next 12-24 months, if AI model development slows or corporate spending tightens, demand for memory chips will likely decline, squeezing profit margins. Investors should brace for potential downside following the current valuation reversion.