# Micron Shares Fall Despite Expanding Stock Buyback Plan to $35 Billion

- URL: https://stocks.freetheai.org/news/micron-shares-fall-despite-expanding-stock-buyback-plan-to-35-billion-903fe7
- Published: 2026-10-13T15:13:11Z
- Category: company_news; sentiment: mixed; impact: medium
- Symbols: [NASDAQ:MU](https://stocks.freetheai.org/symbols/NASDAQ-MU)
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Micron Technology, Inc. (MU) announced an increase in its share repurchase authorization to $35.16 billion. The expanded total incorporates $2.16 billion remaining from a 2018 repurchase program alongside all adjusted free cash flow generated during the quarter ended September 3, accounting for CHIPS Act grant impacts and dividend payments. Despite the massive capital return plan, shares declined 5.17% to $937.90 in recent trading.

The substantial buyback authorization signals executive confidence that cash flow from high artificial intelligence chip demand remains robust enough to fund ongoing expansion while rewarding investors. However, market sentiment has been weighed down by concerns over rising competition from memory producers in China and the historically cyclical nature of the chip industry. Though Micron stock remains up more than 240% this year, it has pulled back from its record peak of $1,255 reached on June 25.

Investors will be watching December 9, when the chipmaker becomes eligible to start purchasing shares under the updated authorization. The scale of the program gives the firm a mechanism to reduce outstanding shares and support earnings per share growth if demand linked to artificial intelligence persists.

## Key points

- Micron Technology, Inc. (MU) expanded its stock repurchase authorization to $35.16 billion.
- The plan includes $2.16 billion from a previous authorization plus 100% of quarterly adjusted free cash flow.
- Shares fell 5.17% to $937.90 despite the buyback news and an over 240% gain earlier this year.
- Stock repurchases under the enlarged authorization may begin as soon as December 9.

## Questions and answers

### Why did Micron Technology expand its stock buyback program?

Micron Technology increased its buyback authorization to $35.16 billion to return excess cash flow generated by strong demand for artificial intelligence memory chips to its shareholders.

### When can Micron begin repurchasing shares under the new plan?

Micron becomes eligible to start buying back shares under the expanded $35.16 billion authorization on December 9.

### Why is Micron stock falling despite the $35 billion buyback?

Micron shares dropped amid investor concerns over increased competition from Chinese memory suppliers and worries about potential pricing declines in the cyclical memory chip market.