Micron (MU) stock slipped roughly 1.89% in Friday premarket trading to around $971.53, pulling back after a strong week that saw the stock climb 17%. The drop came as traders locked in gains across the memory chip space.
The pullback follows a 3.2% gain on Thursday. Despite Friday’s dip, Micron has staged a meaningful recovery after a rough stretch that saw the stock fall around 5.5% over the prior month.
SK Hynix ADRs also moved lower Friday, dropping about 2% after gaining 2.5% the session before. Peers SanDisk and Western Digital were also in the red in premarket action.
The week’s rally for memory chipmakers was fueled in part by Alphabet’s earnings, which showed data center spending is set to keep growing. That kind of capital expenditure benefits Micron and other memory suppliers directly.
Alphabet’s results weren’t all good news for the broader market, though. Google posted its biggest-ever single-day market cap loss. The Nasdaq and S&P 500 both fell as a result, with rising oil prices adding extra pressure.
From a technical standpoint, Micron is in mixed territory. The stock sits about 2% above its 20-day moving average but roughly 2% below its 50-day moving average, pointing to softened near-term momentum.
The RSI is at 52.02, which is neutral. The MACD remains below its signal line, suggesting some short-term bearish pressure. Key support is near $891.50, with resistance around $1,089.50.
The longer-term picture looks healthier — the 50-day moving average is still above the 200-day, keeping the broader uptrend intact.
The next major catalysts come from Big Tech earnings. Microsoft reports on July 29 and Amazon follows on July 30. After Alphabet’s spending signals, Wall Street is expecting these two to show similar or higher data center investment — a direct tailwind for Micron.
Micron’s own earnings are expected around September 22. Analysts are projecting $31.24 per share on revenue of $50.72 billion, compared to $3.03 per share and $11.31 billion a year ago. That would be a dramatic year-over-year jump.
The analyst community remains firmly bullish. Cantor Fitzgerald has a $2,000 price target. KeyBanc raised its target to $1,750 on July 14. The consensus average sits at $1,548.86, well above current prices.
Micron carries a 9.78% weighting in the Invesco PHLX Semiconductor ETF and 8.03% in the iShares Semiconductor ETF, meaning large fund flows can move the stock beyond what fundamentals alone might suggest.
The stock has surged 786.25% over the past 12 months and trades near the top of its 52-week range, which can attract profit-taking during any short-term uncertainty.
The post Micron (MU) Stock Dips Friday — But the Real Test Comes Next Week appeared first on CoinCentral.
