Micron's China Woes May Not Be the Disaster Investors Thought
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A Chinese court’s preliminary injunction stopping Micron Technology Inc. from selling 26 products may not pose as big of an obstacle as investors think, analysts say, noting that the disruption could drive up industry prices. Stifel called the injunction a possible “paper tiger.”
Micron shares rose 4 percent in pre-market trading after the company reiterated quarterly sales guidance Thursday and said it only expects the injunction to hurt revenue by about 1 percent. RBC wrote earlier that the chipmaker would only face limited downside.