Should You Buy Micron Stock Right Now After the Pullback?

By Manali Pradhan, CFA – Mar 31, 2026 at 10:27AM ESTKey PointsMicron Technology has seen its stock pull back despite stellar earnings results.AI-driven demand is far outpacing available memory supply.Market fears around memory pricing, capital expenditures, and Alphabet’s breakthrough technology may be overstating the long-term risk. Shares of Micron Technology (MU 0.56%) have declined nearly 18% in the past week and nearly 30% from recent highs (as of March 31). Despite the pullback, the stock is still up over 267% in the past year, making it vulnerable to unfavorable news. Image source: Getty Images. While some of the decline can be attributed to profit-taking, investor concerns are also shifting toward the sustainability of memory-chip pricing. Those fears have intensified after Micron announced aggressive capital expenditure plans to expand production capacity. Investor sentiment has also been affected after Alphabet unveiled a new compression technique that could reduce memory requirements for certain artificial intelligence (AI) workloads. However, this sell-off ignores the company's strong underlying fundamentals. AI-driven memory demand outpaces supply Micron's fiscal 2026 second-quarter results were stellar, with revenue soaring 196% year over year to $23.9 billion, while earnings per share rose 682% to $12.20. Management expects revenue to climb to about $33.5 billion, plus or minus $750 million, in the third quarter. ExpandNASDAQ: MUMicron TechnologyToday's Change(-0.56%) $-1.80Current Price$320.00Key Data PointsMarket Cap$363BDay's Range$311.50 - $329.3552wk Range$61.54 - $471.34Volume1.6MAvg Vol39MGross Margin58.54%Dividend Yield0.19% This momentum is driven by rapidly increasing memory requirements to support AI workloads across data centers, PCs, and smartphones. While Alphabet's breakthrough technology raises concerns that memory requirements for some inference workloads (real-time deployment of AI models) could decline, it does not eliminate the broader need for high-performance memory needed for training and data storage. Micron said supplies remain so tight that some of its key customers are receiving only about half to two-thirds of their medium-term demand. This imbalance is driven by limited capacity, long lead times required to build and ramp up new fabrication centers, the higher amount of silicon required to manufacture high-bandwidth memory (HBM), and diminishing efficiency gains from advanced manufacturing nodes. The company also expects the tight supply-and-demand conditions to persist through 2026, which would support high memory prices. Management is also increasingly adopting multiyear strategic customer agreements to lock in volumes and reduce revenue volatility. With the recent pullback reflecting short-term concerns rather than weakening fundamentals, this may be a smart entry point for long-term investors to take a small stake in Micron.Read NextMar 31, 2026 •By Justin PopeMicron Technology Is Having Its Nvidia Moment.

Is It Still a Buy?Mar 31, 2026 •By Keithen DruryBeyond Nvidia: This Under-the-Radar AI Stock Is Up Nearly 300% Over the Past YearMar 30, 2026 •By Emma NewberyStock Market Today, March 30: Micron Technology Falls on TurboQuant ShockMar 30, 2026 •By Rich SmithWhy Micron Stock Dropped Again TodayMar 30, 2026 •By Jack CaporalThe AI Stocks Hedge Funds Love the MostMar 30, 2026 •By The Motley Fool TeamStock Market Today (LIVE): Micron's Post-Earnings Slide Continues; Markets Remain Volatile Amid Middle East TensionsAbout the AuthorManali Pradhan, CFA, is a contributing Motley Fool stock market analyst covering technology, pharmaceuticals, medical devices, and industrial sectors. Manali brings prior experience as a healthcare analyst and team lead at Market Realist, a data equity analyst at Morgan Stanley, and a data analyst at Deloitte Financial Advisory Services. She holds a bachelor’s degree in computer engineering and a master’s in finance from Mumbai University.TMFManaBStocks MentionedMicron TechnologyNASDAQ: MU$319.37(-0.76%)-$2.43*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.