Micron shares rise 4% as supply tightness outlook persists

Shares of Micron Technology rebounded in early trading on Monday, July 20, 2026, rising over 4% following a steep decline that had wiped more than 25% from the chipmaker's value in recent weeks. The gain ended a multi-session losing streak and brought the stock's price to the $884-$885 range. The rebound occurred despite lingering sector volatility and cautionary comments from industry competitors.

The recent sell-off had pushed Micron’s market capitalization below $1 trillion, a threshold it had surpassed in early June. The stock’s volatile moves follow an extraordinary 12-month rally where it gained more than 600%, driven by soaring demand for memory chips used in artificial intelligence systems. The company reported record-breaking results for its fiscal third quarter, which ended May 28, 2026. Revenue surged 346% year-over-year to $41.46 billion, while earnings per share skyrocketed to $25.11, significantly exceeding analyst estimates.

The core driver of this performance is a severe and persistent supply crunch for advanced memory chips, particularly high-bandwidth memory (HBM) used in AI data centers. Micron's leadership has forecast that tight supply conditions are likely...