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Fund’s Missed Bet on Micron Technology (MU) Weighs on Performance

Columbia Threadneedle Investments, an investment management company, released its “Columbia Seligman Global Technology Fund” second quarter 2026 investor letter. A copy of the letter can be downloaded here. During the quarter, the Fund’s Institutional Class shares returned 50.34%, outperforming the MSCI World Information Technology Index’s 33.65% gain. Stock selection in semiconductors, technology hardware and software, together with an off-benchmark electrical equipment allocation, supported relative performance, while exposure to financials, consumer discretionary and healthcare detracted. Technology stocks rallied as concerns over the Iran conflict eased and AI infrastructure spending boosted demand for semiconductors, memory, networking, servers and power solutions. The Fund expects AI and data-centre investment to remain strong, supported by broadening earnings growth and improving software bookings, cloud consumption and customer spending. However, geopolitical uncertainty, higher interest rates and heavy AI investment could pressure valuations and free cash flow. The strategy holds 50–75 technology companies across market capitalisations and uses bottom-up GARP research to identify misunderstood and undervalued businesses in the technology industry. In addition, please check the Fund’s top five holdings to know its best picks in 2026.

In its second-quarter 2026 investor letter, Columbia Seligman Global Technology Fund highlighted Micron Technology, Inc. (NASDAQ:MU). Micron Technology, Inc. (NASDAQ:MU) designs, develops, manufactures, and sells memory and storage products in the United States and internationally. On July 29, 2026, Micron Technology, Inc. (NASDAQ:MU) closed at $739.00 per share. One-month return of Micron Technology, Inc. (NASDAQ:MU) was -24.25% and its shares gained 577.11% over the past 52 weeks. Micron Technology, Inc. (NASDAQ:MU) has a market capitalization of $834.62 billion.

Columbia Seligman Global Technology Fund stated the following regarding Micron Technology, Inc. (NASDAQ:MU) in its Q2 2026 investor letter:

“The fund did not own memory providers such as Micron Technology, Inc. (NASDAQ:MU) during the quarter, which ultimately detracted from performance relative to the MSCI World Information Technology Index. MU have been beneficiaries of a massive increase in demand for high-bandwidth memory to support AI workloads and have seen large price increases for their solutions. Stock price for the company reflected that sentiment, with large increases during the quarter.”

Micron Technology, Inc. (NASDAQ:MU) is in 17th position on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 154 hedge fund portfolios held Micron Technology, Inc. (NASDAQ:MU) at the end of the first quarter, up from 137 in the previous quarter. While we acknowledge the risk and potential of Micron Technology, Inc. (NASDAQ:MU) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Micron Technology, Inc. (NASDAQ:MU) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we explored Micron Technology, Inc. (NASDAQ:MU) and noted CXMT’s noteworthy IPO and its effects on memory and storage solution companies. In its Q2 2026, investor update, Janus Henderson Global Sustainable Equity Fund noted that Micron Technology, Inc. (NASDAQ:MU) rose sharply on booming demand for high‑bandwidth memory. In addition, please check out our hedge fund investor letters Q2 2026 page for more investor letters from hedge funds and other leading investors.

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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