Micron Technology, Inc. (MU)

As stock markets decline at the start of 2026, an analyst presents 15 undervalued stocks representing a buying opportunity across various sectors. The market downturn is creating attractive entry points for investors seeking quality companies at discounted valuations.

The Motley Fool•Parkev Tatevosian, Cfa

Apr 4

Despite Google's TurboQuant algorithm reducing memory requirements by 6x, Micron's memory chip bottleneck persists. The HBM market is projected to grow from $35B in 2025 to $100B by 2028, with Micron currently meeting only 50-67% of orders. The author views the recent 20% stock decline as a buying opportunity, citing strong revenue growth and a low forward P/E ratio of 6.2x.

The Motley Fool•Keithen Drury

Apr 3

Micron Technology's stock fell 18% in March despite reporting exceptional Q2 earnings with 196% revenue growth and 682% EPS growth, driven by strong AI chip demand. The decline was triggered by Google's announcement of a compression algorithm that could reduce memory requirements for large language models by up to 8x, potentially decreasing demand for Micron's memory chips. However, the Jevons Paradox suggests that increased AI efficiency could ultimately drive higher long-term demand.

The Motley Fool•Danny Vena, Cpa

Apr 3

Micron Technology stock has plummeted nearly 30% from its mid-March peak due to concerns about capital expenditure plans, Google's new TurboQuant technology that could reduce memory chip demand, and potential margin compression. However, the author argues the sell-off is overdone, citing the stock's attractive 6x forward P/E ratio, analyst consensus price target of $547 (70% above current price), and the fact that Google's efficiency gains could enable even more AI computing with existing memory capacity.

The Motley Fool•James Brumley

Apr 3

Google's TurboQuant algorithm reduces memory usage for large language models by over six-fold, initially causing memory chipmakers' stocks to fall. However, the breakthrough could be a surprise win for Apple by enabling more advanced on-device AI processing on iPhones, potentially spurring a massive upgrade cycle as nearly 1 billion older iPhones cannot run Apple Intelligence features.

The Motley Fool•Adam Levy

Apr 3

Micron Technology trades at a remarkably cheap valuation (3.3x forward P/E) despite tripling quarterly revenue and expanding gross margins to 74.4%, driven by AI-related demand for high-bandwidth memory (HBM). For the stock to triple by 2030, Micron must prove its growth is driven by structural AI tailwinds rather than cyclical memory market booms, primarily by securing long-term HBM contracts with minimum volume commitments.

The Motley Fool•Geoffrey Seiler

Apr 3

Micron stock fell up to 7.5% at market open on April 2, 2026, primarily due to geopolitical uncertainty surrounding President Trump's comments on the Iran war. While Trump suggested the conflict could end soon, he also indicated imminent military strikes on Iran, causing market-wide tech sector pullback. The stock recovered somewhat intraday following news of Iran-Oman negotiations regarding the Strait of Hormuz. Additionally, Alphabet's announcement of new data compiling technologies that could reduce memory chip demand has weighed on Micron's valuation.

The Motley Fool•Keith Noonan

Apr 2

Google's TurboQuant data-compression technology triggered a semiconductor sector selloff based on the misconception that efficiency gains would reduce hardware demand. However, analysts argue this represents a classic market overreaction. Efficiency improvements historically create virtuous cycles of innovation, enabling larger and more complex AI models that actually require more powerful memory and storage. Companies like Micron, Western Digital, and Applied Materials remain well-positioned to benefit from accelerating AI infrastructure buildout, with their 2026 demand already sold out or fundamentally sound.

Investing.com•Jeffrey Neal Johnson

Apr 2

As AI spending pullbacks reduce memory chip prices, Nintendo is positioned for significant growth. The Switch 2 is the fastest-selling console ever, and with input cost concerns easing, the company can focus on expanding its gaming and entertainment empire through new games, movies, and theme parks. Despite strong fundamentals, Nintendo stock remains 43% below its highs, presenting a buying opportunity.

The Motley Fool•Brett Schafer

Apr 2

U.S. stock futures declined sharply on Thursday as President Trump escalated military tensions with Iran, threatening strikes on Iranian infrastructure for another two to three weeks. The S&P 500, Dow, and Nasdaq 100 all fell in premarket trading, with crude oil rising 6.74% amid geopolitical uncertainty. Key stocks including Micron Technology, General Motors, and IBM experienced mixed performance, while analyst Scott Wren maintains a cautiously optimistic 2026 outlook despite current market volatility.

Benzinga•Rishabh Mishra

Apr 2