Micron Technology (NASDAQ:MU) is an Idaho-based semiconductor company that manufactures Nand and DRAM memory chips. In the past month, shares of the stock have dropped 9%, which presents investors with a buying opportunity.According to Fortune Business Insights, the semiconductor industry is expected to grow at a CAGR of 8.6% between 2021-2028. This growth will be driven by wider usage of chips in Artificial Intelligence (AI), the Internet of Things (IoT), machine learning technologies as well as higher consumption of consumer electronic devices.
However, over the past month the semiconductor industry experienced a minor selloff, as evidenced by the 3% loss in the iShares PHLX SOX Semiconductor Sector Index ETF (SOXX), compared to SPDR S&P 500 Trust ETF (SPY) 0.2% gains over the same period.
This dip is giving investors an opportunity to scoop up shares of quality semiconductor companies, such as Micron Technology (MU), at cheaper prices. Based in Boise, Idaho, MU designs, produces, and sells memory and storage solutions across the globe. MU is a leader in two types of memory chips: Nand and DRAM. Nand provides longer-term data storage, while DRAM is used in PCs, smartphones, and other devices with a central processing unit.