Michael Burry Adjusts Bet Against Micron Stock with June 2027 Expiry
Michael Burry, known for predicting the housing crash, has adjusted his bearish stance on Micron Technology (NASDAQ: MU) by trading a short position into put options expiring in June 2027. These puts only pay off if Micron's stock drops to around $500 from its current level of approximately $1,065 within nine months. Burry believes the memory chip shortage will end as new supply comes online and that a potential AI bubble could burst sooner than expected. Micron recently reported record revenue growth of 379% year-over-year to $54.2 billion for its fiscal fourth quarter. Management indicated it cannot yet predict when the current demand-supply imbalance might resolve, with CEO Sanjay Mehrotra noting tighter conditions are likely in 2027 and 2028 compared to 2026. Despite slowing DRAM price increases, prices remain on an upward trajectory, which is contrary to what a down cycle would require. Micron also has significant future revenue commitments through multi-year contracts totaling over $150 billion.
Tickers: $MU
Topics: memory chip market Michael Burry Micron Technology put options short selling