Major traders increase bearish bets on Micron ahead of earnings

Michael Burry added to short positions in Micron alongside increased bearish bets in semiconductor stocks and other holdings, while former hedge fund manager Martin Shkreli simultaneously reversed his stance on the stock, moving to a short position despite having praised Micron as recently as July. Shkreli's shift reflects concern about whether elevated memory prices can persist as additional manufacturing capacity comes online, particularly from Chinese competitor CXMT. Both traders are betting that any decline in memory pricing would undermine Micron's near-term profitability, with Shkreli emphasizing that price levels are critical to his thesis. The positioning adds bearish pressure ahead of Micron's September 30 earnings report, which Wall Street expects to show a dramatic earnings increase.

1. Michael Burry increased short positions in Micron, the iShares Semiconductor ETF (SOXX), and Palantir Technologies on September 23, 2026.
2. Martin Shkreli moved to a short position on Micron after estimating in July that the company could generate roughly $200 billion in earnings through 2027.
3. Shkreli said if memory prices drop, the trade breaks, emphasizing that price is the critical variable driving current profitability.
4. Both traders are concerned about memory industry supply additions and Chinese manufacturer CXMT ramping advanced DRAM production.
5. Steve Neamtz, CEO of Yorkville America, told Benzinga that factories capable of materially easing supply constraints may not reach full production until 2028 or 2029.
6. Analysts expect Micron to report adjusted earnings of $31.43 per share on September 30, up from $3.03 a year earlier, and revenue of $51.05 billion, up from $11.31 billion.
7. Micron stock comprises roughly 8.8% of major semiconductor ETFs including SOXX, SOXQ, and XNTK, meaning significant positioning changes can affect ETF flows.