Micron Technology (MU) Gets Downgraded by Analyst

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Erste Group has downgraded Micron Technology (MU) from ‘Buy’ to ‘Hold’ due to concerns about the high investments required for production expansion impacting free cash flow and the long-term sustainability of the memory cycle. Micron plans to increase its CapEx by at least 25% to $25 billion in FY 2026, with further increases expected in FY 2027. The company’s stock has already fallen over 20% since March 17th as the market reevaluates memory pricing and AI-driven demand.

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