Micron Announces $35.16 Billion Stock Buyback Authorization Amid Record Profits
Micron Technology has announced a significant expansion of its stock repurchase program, authorizing up to $35.16 billion in buybacks following the removal of restrictions from federal funding agreements under the CHIPS and Science Act. This move signals Micron's intent to return excess cash to shareholders as it generates record profits driven by soaring demand for memory chips due to AI infrastructure spending. In fiscal 2026, Micron reported $133.2 billion in revenue with an operating income of $99.3 billion and a nearly 75% operating margin. The company's average selling prices surged 180% for DRAM and 200% for NAND during the same period. Management expects these favorable conditions to persist through at least 2028, supporting continued strong cash flow generation. Micron’s recent fiscal fourth-quarter free cash flow reached $33.2 billion—enough in one quarter alone to nearly fund its entire new buyback program. While a full repurchase of the newly authorized amount may not be sufficient on its own to push Micron's stock price toward $3,000 per share from current levels near $1,000, it could serve as an important catalyst if free cash flow remains robust and further authorizations are expanded.
Tickers: $MU
Topics: CHIPS and Science Act Micron Technology stock buybacks
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