Qimonda Retreats; Will Micron Buy, or Not?

 |  Includes: IFNNY, MU, QI, SPSN
by: Eric Savitz

Qimonda (QI) shares are down hard today, giving back all of the memory chip maker’s advance on Friday, which had been spurred by a Wall Street Journal report that said Micron (NASDAQ:MU) might make an offer for its rival in the DRAM business.

Qimonda, which rose 21 cents, or 10% on Friday, today is down 21 cents, or 9.2%, to $2.08.

Two related items worth mentioning here. One, Bloomberg is reporting that NXP B.V. is denying it has been holding merger talks with Infineon (IFX), which owns a majority stake in Qimonda. And the other is that Qimonda is not the only memory chip stocks taking a bath today: Spansion (SPSN), which makes NOR flash memory chips, is off 30 cents, or 10.3%, to $2.61, erasing a 9% rally over the last three trading days.