The semiconductor sector just lived through a mood swing that would make a therapist reach for their notepad. In the span of three weeks, chip stocks went from a punishing sell-off to a euphoric rally that added over $400 billion in market value during after-hours trading. The catalysts: Micron Technology and Qualcomm, whose late-June earnings reports reminded Wall Street that the AI trade is very much alive, even if it occasionally gives investors heart palpitations.
Micron’s fiscal Q3 results were the kind of numbers that make analysts spill their coffee. Revenue surged 346% year-over-year and 74% sequentially, sending shares up roughly 15-17% in extended trading. Qualcomm, not to be outdone, dropped a long-term forecast that projected $15 billion in data-center revenue by fiscal 2029, while raising its overall non-handset revenue target to $40 billion by the same year.
From sell-off to surge in three weeks
On June 4, 2026, the sector got hammered. Micron dropped more than 7%. Qualcomm fell approximately 2%. The culprit was a growing concern that AI valuations had gotten ahead of themselves.
The after-hours reaction was dramatic. The chip sector collectively added over $400 billion in market value in a single trading session after the closing bell.
