In recent days, Micron Technology has found itself at the center of a remarkable surge in options trading activity, with deep-pocketed investors and keen market watchers alike zeroing in on the semiconductor giant’s prospects. The flurry of trading, highlighted by both bullish and bearish bets, comes as Micron cements its role in the booming AI-driven memory market and posts numbers that have Wall Street analysts abuzz with optimism.
On September 9, 2025, Benzinga Insights reported an extraordinary 112 options activities for Micron Technology (MU) in a single day—a clear sign that something big was brewing. According to Benzinga, 48% of these heavyweight investors leaned bullish, while 40% took a bearish stance. The numbers themselves were striking: 19 puts totaling $1,240,735 and a whopping 93 calls amounting to $4,915,482. The trades spanned a price window from $50 to $200, reflecting a broad spectrum of expectations for Micron’s future performance.
The options action wasn’t limited to small-time speculators. The average open interest for Micron stood at 3,082, with total volume reaching 51,179 contracts. Notably, one bearish call sweep with a strike price of $135 and an October 3, 2025, expiration saw $280,300 traded on a volume of 996 contracts. Meanwhile, bullish call sweeps and trades with various strike prices and expiration dates through January 2026 dominated the tape, underscoring a divided but intensely engaged investor base.
Micron’s stock itself has been on a tear. As of the report date, shares were trading at $131.84, up 0.29%, with a robust trading volume of 13,644,840. Technical indicators, including the Relative Strength Index (RSI), suggested the stock might be approaching overbought territory—a classic sign that momentum traders are piling in. But what’s fueling this surge in conviction?
According to a September 10, 2025, update from CNBC, much of the bullishness is tied to Micron’s positioning at the heart of the AI-driven memory cycle. One options trader shared that a bullish bet on Micron, initiated just weeks earlier, had already delivered a stunning 180% profit on a $654 per contract investment—just a week before expiration. The trader explained, "Given the rapid gains and compressed time value, we are taking profits here and redeploying into a new position to continue benefiting from MU's upside potential."
Technical analysis backs up the optimism. Micron recently broke above its $130 double-top resistance, which has now flipped to become a new support level. This breakout, coupled with the stock’s outperformance of the S&P 500, points to potential institutional accumulation and growing conviction around Micron’s role in the AI memory cycle.
But it’s not just technicals driving the story. The fundamentals are equally compelling. Micron currently trades at a forward price-to-earnings (PE) ratio of 10.6x, well below the industry average of 23x. Analysts are projecting eye-popping growth for fiscal year 2025: earnings per share (EPS) are expected to surge by over 110%, while revenue is forecast to grow by 28%—both far outpacing industry averages of 17% and 11%, respectively. Net margins at Micron stand at 18.4%, compared to the industry’s 11.8% average, reinforcing the company’s position as a profit leader in the sector.
The real game changer, however, is Micron’s role in the AI memory boom. Demand for high-bandwidth memory (HBM), used in AI graphics processing units (GPUs), has exploded. Micron’s entire 2025 HBM supply is already sold out, with strong visibility into 2026. The company’s market share in HBM has rocketed from about 4% in 2024 to 21% in the second quarter of 2025, with targets of 23–24% by year’s end—largely at the expense of rival Samsung. Strategic partnerships with industry titans Nvidia and AMD have only strengthened Micron’s hand, as both companies expand their reliance on Micron’s advanced HBM3E chips.
Options traders have responded in kind. Following the windfall from the initial bullish put vertical, the same trader described rolling into a new position by selling the October 24, 2025, $135/$122 put vertical at a $5.00 credit. The structure, as outlined by CNBC, allows for a maximum profit of $500 per contract if Micron closes above $135 at expiration, with a maximum risk of $800 if it falls below $122. The breakeven point: $130.00. "This structure reflects our confidence in MU holding above $130 support while still allowing us to generate income and maintain directional upside exposure," the trader noted.
Professional analysts are similarly upbeat. Four market experts recently issued ratings for Micron, with a consensus target price of $172.5. Needham revised its rating downward to Buy with a $150 price target, while CLSA lowered its rating to Outperform and set a $155 target. Rosenblatt maintained its Buy rating with a target of $200, and JP Morgan kept its Overweight rating at $185.
Yet, options are not for the faint of heart. As Benzinga cautions, "Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely." For those eager to stay ahead, Benzinga Pro offers real-time options trade alerts—a nod to the growing community of retail and professional traders tracking every twist and turn in Micron’s story.
Micron’s business model is another key factor in the unfolding drama. The company is one of the world’s largest semiconductor firms, specializing in memory and storage chips. Its bread and butter is dynamic random access memory (DRAM), but it also has exposure to NAND flash chips. Serving a global customer base, Micron’s chips are found everywhere from data centers and mobile phones to industrial and automotive applications. The company’s vertical integration has allowed it to respond rapidly to shifts in demand—especially as AI applications drive a new wave of innovation across the tech landscape.
Looking ahead, anticipation is building for Micron’s upcoming earnings announcement, expected around September 23, 2025. With the stock trading at a discount to peers but delivering superior growth and profitability metrics, all eyes are on whether the company can keep up its blistering pace.
For now, Micron stands as a vivid example of how technological shifts—especially those fueled by artificial intelligence—can create new winners in the stock market. As options activity heats up and analysts raise their targets, investors large and small are watching closely, eager to see if Micron’s breakout can turn into a sustained run.
