Micron slid after a sharp post-earnings rally as a broader semiconductor sell-off spread across U.S., European and Asian chip stocks amid concern over AI infrastructure spending.
U.S. premarket trading turned broadly weaker on June 26, with Micron and other semiconductor names retreating after a powerful rally earlier in the week. Micron fell nearly 5% in premarket trading after its stock had surged more than 15% following blowout earnings, while Intel dropped just over 3%, Sandisk fell 5%, Arm lost 4% and Marvell declined 3.7%. The weakness was part of a wider global tech sell-off that also hit ASML, Infineon, ASM International, ST Microelectronics, Be Semiconductor and Softbank. Investors remain wary of the rising cost of building artificial intelligence infrastructure even as demand from hyperscalers for memory used in data centers has boosted Micron's results. Micron said third-quarter revenue more than quadrupled to $41.46 billion from $9.3 billion a year earlier and projected about $50 billion in revenue for the current quarter, versus $11.3 billion a year earlier, helping explain why the stock had risen 863% over the past year before Friday's pullback. Earlier Bitget data also showed weakness in storage, optical networking and crypto-linked names, including STX, Dell, STRC and MSTR, while Apple edged higher.