Taiwan is a major DRAM and HBM manufacturing hub for Micron, which employs about 15,000 people there.

  • Rival Micron’s Taoyuan union plans a Thursday strike over bonuses and profit sharing.
  • The walkout will coincide with mediation involving workers at Micron’s larger Taichung operation.
  • Rosenblatt called last week’s CXMT-driven memory-stock selloff “overblown,” disputing the near-term competitive threat.

U.S.-listed shares of SK Hynix (SKHY) slid 4% in premarket trading on Tuesday, but retail bulls urged dip-buying as a union at rival Micron (MU) announced a Taiwan strike over employee bonuses and profit sharing.

SKHY stock rallied 5% on Monday, ending a 10-session losing streak. Meanwhile, MU shares fell 2% premarket after gaining 3% in the previous session.

Micron Faces Taiwan Strike Over Profit Sharing

Micron’s Taoyuan union plans to strike on Thursday as a separate union at the company’s larger Taichung operation meets management for mediation, Reuters reported. 

The dispute concerns employee bonuses and a permanent profit-sharing mechanism. Unions have sought quarterly bonuses in relation to 15% of operating profit. Micron announced record fiscal 2026 employee rewards in September, including a cash bonus of 1 million Taiwan dollars for Taiwan staff, but the dispute is still unresolved. 

After mediation failed last month, Taoyuan members authorized strike action earlier this month. The union said the Thursday walkout would support Taichung workers and pressure Micron to offer a concrete proposal. “Through our actions, we will make our dissatisfaction with the current system heard and demonstrate our determination to establish a fair profit-sharing system,” it said in a Monday statement. 

Taiwan houses major Micron DRAM and high-bandwidth memory operations. The company employs about 15,000 people there and says its investment on the island exceeds about $49 billion. At a new Taichung assembly and testing facility’s opening last week, Micron said the plant’s 2027 capacity was sold out. Taiwanese President Lai Ching-te urged sincere negotiations between the company and its workers.

Retail Bulls See Opportunity In Memory Stock Slide

On Stocktwits, retail sentiment for SKHY and MU was ‘bullish,’ with message volume ‘high’ for SKHY and ‘normal’ for MU. 

One user said, “you have permission to buy this dip.” Another user, encouraging gradual accumulation, said, “When the panic is over, this will go up.” A separate user, posting about SKHY, Micron and other memory stocks, said, “So exhausting being a memory investor yet nowhere in the world do you find financials like this. Just brutal.”

Another user said, “this will be red till strikes are over,” expressing concern about the labor dispute’s effect on the stock.

SK Hynix Heads Into Earnings After CXMT Selloff

SK Hynix and Micron compete in DRAM and high-bandwidth memory, or HBM, used in AI servers.

Memory stocks had already come under pressure last week after Chinese chipmaker CXMT announced a next-gen DDR5 server-memory module targeted for launch by year-end 2026. Rosenblatt called the selloff “overblown”, saying that investors had overstated the near-term competitive threat to suppliers such as SK Hynix and Micron. 

Meanwhile, SK Hynix is scheduled to report third-quarter results next week. Revenue is projected to rise 46% from a quarter ago to $74.81 billion, according to Koyfin. EBITDA is forecast to increase 49% to $62.26 billion, while adjusted EPS is projected to decline 24% from the previous quarter.

Recently, SK Hynix demonstrated its Memory Centric AI Rack System (MARS) at the OCP Global Summit held Oct.12- Oct.15 in California. Additionally, it also detailed a 256-gigabyte CXL 3.2 memory module that allows multiple servers to share a memory pool, alongside HBM4, HBM4E and high-bandwidth flash displays.

While U.S.-listed shares of SK Hynix have declined 15% year-to-date, MU stock has rocketed 217% over the same period. 

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