The decline stemmed from "negative articles" on the "capacity/supply" estimates in the memory chip market, Wedbush Securities analyst Betsy Van Hees told MarketWatch. DRAM chip makers could increase their capacity in the fourth quarter, which could have a negative effect, such as oversupply, on companies like Micron, according to a Monday article in EE Times.
More than 18 million shares had changed hands as of 2:33 p.m., compared to the average volume of 25,394,100. The stock had an intraday high of $32.60 and low of $31.45.
TheStreet Ratings team rates MICRON TECHNOLOGY INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate MICRON TECHNOLOGY INC (MU) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and notable return on equity. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."