With incredible gains of 350% over the past year, shares of Micron Technology (NASDAQ: MU) have easily outpaced the 68% jump in the PHLX Semiconductor Sector index. However, Micron stock has been in the doldrums of late, sliding 25% from the 52-week high it reached in June this year. Micron's pullback is driven more by broader market sentiment than by the company's financial performance. Investors have been booking profits in Micron stock amid concerns about the viability of the huge investments in artificial intelligence (AI) infrastructure due to higher interest rates. So, I won't be surprised if Micron management opts for a stock split to boost investor confidence.
POLARIS INSIGHTS