Micron Technology stock crash today: Why is MU share price at Nasdaq down on Monday?

Micron Technology stock is witnessing tough Monday trading at the Wall Street. Micron Technology Inc or MU share price at Nasdaq was down over 4 per cent or more than 40 points to USD 988.77. The downfall comes at a time when a report has claimed that there was a valuation gap in Micron stock. According to GuruFocus data released after the Micron 10-K filing on October 9, Micron stock is reportedly having 33.8 per cent valuation gap.

The most recent reports including from Micron Technology have been strong and suggest other companies are still "reaping the benefits," Nick Raich, CEO of the Earnings Scout, an independent research firm said last week.

Chipmaker Micron in September forecast quarterly revenue above estimates and said customers had increased commitments under its long-term supply agreements to $32 billion.


The rally that has driven the S&P 500 up 14 per cent this year to record highs is masking the fact that more than 4 in 10 stocks in the index are lower in 2026, as the gains are concentrated in a few chipmakers and other AI-related heavyweights.

The gap between the benchmark and its average member highlights how much of Wall Street's rally rests on a handful of companies as the US bull market nears a four-year anniversary. Memory-chip makers Sandisk and Micron Technology have more than tripled, while the median S&P 500 stock has gained barely 4% in 2026, according to a Reuters analysis of LSEG data.

By contrast, over 200 companies within the S&P 500 have fallen in 2026, with a quarter of the index down 11 per cent or more. The analysis covers current S&P 500 members, excluding 18 companies removed from the index in 2026, some demoted to smaller capitalization indexes after their stocks fell.

The S&P 500's rally in 2026 puts it on track for its fourth straight year of gains, fueled most recently by explosive earnings growth from AI-related companies, even as profit expansion in other sectors remains tepid.

Eight of 11 S&P 500 sector indexes are up this year, led by a 42 per cent jump in energy and a 32 per cent surge in technology . However, because of its sheer size, technology is responsible for over 10 percentage points of the S&P 500's gain, while the energy sector's contribution amounts to less than 1 per cent.

"We continue to favor large-cap quality, particularly asset light names with improving EPS revisions. We would add riskier stocks over the next month if the index comes down to finish what has been a multi-month correction under the surface," Morgan Stanley strategists wrote in a recent report.

AI chipmaker Nvidia, the world's most valuable company, has contributed almost 2 per cent to the benchmark's gain this year, followed by contributions of over 1 per cent each from Apple, Micron and Advanced Micro Devices.