Micron Technology's Stock Rallies After Announcing New Buyback Program

Micron Technology's stock rallied 2.7% in premarket trade Monday, after the memory chip maker announced a new $1 billion share repurchase program. "Our business continues to generate strong operating cash flows, enabling us to invest in our strategic growth initiatives while also returning capital to investors," said Chief Financial Officer Ron Foster. He added that the company spent $389 million to eliminate a convertible debt offering, and the new stock buyback plan was another way for Micron to return excess capital to investors. Micron's stock has climbed 43% year to date through Friday, compared with a 14% gain in the PHLX Semiconductor index and a 6.3% rise in the S&P 500.