Is Micron’s Incredible Run About to End?
Micron (NASDAQ: MU) has been on an extraordinary run for the past year. The memory chipmaker has benefited from surging demand amid the AI revolution, combined with limited competition. Micron’s stock has skyrocketed nearly 220% in 2026, even after a recent pullback. The company, along with a handful of others, owns the vast majority of the memory market share. That could all change, however, if China has anything to say about it.
The threat to Micron’s dominance comes from two state-backed Chinese companies. Yangtze Memory Technologies is aiming to overtake its competitors in the NAND market in the near future. It is currently ranked fifth by revenue, behind major players including Micron, Samsung (OTC: SSNLF), and SK Hynix (NASDAQ: SKHY).
The bigger threat is in the DRAM market, which accounts for 73% of Micron’s revenue as of last quarter. ChangXin Memory Technologies is about to launch a new, denser chip by the end of the year. This is an issue for Micron, as it will not only erode the company’s market dominance but also undermine its pricing power.
Source: www.fool.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.