Micron Technology shares dropped early Tuesday, following a wider decline in semiconductor stocks as bond yields rose.
The stock fell 4.7% in premarket trading, losing the momentum that had briefly pushed it above $1,000 the day before.
Micron was not the only one to see a drop. South Korean company SK Hynix and competitor Sandisk also fell in premarket trading. Chip stocks in general faced pressure as higher bond yields pointed to increased borrowing costs, partly due to worries about rising tensions in the Middle East.
Micron has been a very volatile stock over the past year, rising more than 700% in that time. Still, Barron’s has said the stock could double from here if strong AI-driven memory demand helps it move past its usual boom-and-bust cycle. Most Wall Street analysts remain positive about the stock’s long-term prospects.
