Micron Stock Gets Hammered Over China Fears — Jim Cramer Calls the Selloff 'Nonsense'
Key takeaways
- Micron’s stock is under pressure from China‑related fears, but its long‑term contracts and AI demand provide a defensive backdrop.
- Micron up nearly 240% in 2026
- 26 long‑term customer agreements through 2030
- Micron shares down 1.50% at $938.85 premarket
What happened
Micron Technology (MU) saw its shares drop more than 12% over the past five days as investors reacted to concerns about rising competition from Chinese memory chipmakers, while the company’s long‑term customer contracts and AI‑driven demand remain strong.
Why it matters
The sell‑off reflects a broader shift in the semiconductor market where memory stocks are being pressured by supply tightness and geopolitical worries, yet Micron’s 26 long‑term agreements through 2030 and ongoing negotiations for 2031 suggest underlying demand resilience.
Short-term and longer-term
Short-term. Over the next few days, watch for any new supply‑chain updates or customer contract announcements that could shift sentiment.
Longer-term. Over the coming months, Micron’s long‑term contracts through 2030 and beyond provide a stable revenue base that could mitigate short‑term market swings.