MU is down 1.67% intraday, but it has narrowed from the over 3% drop seen pre-market. A lot of people saw the gross margin drop from 87% to 86.25% and immediately thought, 'That's it, Micron can't go up anymore.' CEO Sanjay rushed to explain on TV: part of the employee incentives will roll into the next fiscal quarter's costs, so it looks lower. Believe it or not. The CFO said Q1 will mark the gross margin floor for 2027, and it will gradually increase quarter by quarter after that—just not as aggressively as before. Earnings are solid, target price continues to rise. The key issue is that production capacity won't achieve supply-demand balance until 2027, with risks extending into the second half of 2028.