Micron Technology stock drops on China chip news and labor dispute

Micron Technology Inc. fell 3.6% in morning trading Friday to $897.86 as concerns over Chinese competition and a potential strike at a key manufacturing facility weighed on the stock.

The decline follows an October 13 announcement from China's ChangXin Memory Technologies, or CXMT, which revealed a breakthrough in 4F² DRAM architecture and plans to launch a new data center chip design by year-end.

Micron also faces pressure from a labor dispute at its Taoyuan facility in Taiwan. Union members at the plant voted to authorize work stoppages over a profit-sharing bonus dispute. Taiwan's President called on Micron and its workers to negotiate in good faith ahead of a potential strike.

Taiwan accounts for a majority of Micron's DRAM output. Any disruption to production could affect the company's ability to fulfill AI memory orders.

A KeyBanc analyst reiterated a bullish price target on the stock Friday. At least one firm raised its fiscal year 2027 earnings per share forecast for the company.