Micron Technology MU shares plunged 6.7% on Wednesday after the company announced that it would slash memory chip production in response to the current market conditions. The company revealed that it would cut production of DRAM and NAND memory chips by approximately 20% compared with the fourth-quarter fiscal 2022 levels.Why Does Micron Intend to Slash Chip Output?Micron’s latest plan to reduce the memory chip supply can be seen as an effort to keep inventory levels in check amid the declining demand. The company benefited from the heightened demand for computers and other consumer technology products during the pandemic-led work-and-learn-from-home wave.However, the reopening of economies, along with recessionary fears and inflation, has been hurting demand. This has resulted in weakening the memory chip demand from the smartphone and personal computer end markets, the major contributors to Micron’s revenues.Micron Technology, Inc. Price and Consensus Micron Technology, Inc. price-consensus-chart | Micron Technology, Inc. QuoteA decline in demand has caused an excessive inventory pileup across channel partners. Excess inventory levels are impacting the price of memory chips as these are traded like commodities. Therefore, an excess supply and lower demand will reduce the price of memory prices, thereby impacting the manufacturer’s profitability.Micron’s latest initiative will help it improve the total inventory in the supply chain and stabilize falling memory chip prices. Under its production cut strategy, the company intends to shrink the DRAM bit supply in the calendar year 2023 from 2022 while keeping NAND bit supply growth in the single-digit percentage range.Zacks Rank & Stocks to ConsiderMicron currently carries a Zacks Rank #4 (Sell). Shares of MU have decreased 36.8% year to date (YTD).Some better-ranked stocks worth considering from the broader technology sector are Celestica CLS, Zscaler ZS and Coupa Software COUP. Celestica sports a Zacks Rank #1 (Strong Buy) at present, while Zscaler and Coupa each carry a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here.The Zacks Consensus Estimate for Celestica’s fourth-quarter 2022 earnings has increased by 9 cents to 53 cents per share over the past 30 days. For 2022, earnings estimates have moved 9.4% up to $1.86 per share in the past 30 days.CLS' earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 11.8%. Shares of the company have increased 2.8% YTD.The Zacks Consensus Estimate for Zscaler's second-quarter fiscal 2023 earnings has been revised 5 cents north to 26 cents per share over the past 90 days. For fiscal 2023, earnings estimates have moved a penny north to $1.18 per share in the past 60 days.ZS’ earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 28.6%. Shares of the company have declined 56.3% YTD.The Zacks Consensus Estimate for Coupa's fourth-quarter fiscal 2023 earnings has been revised 3 cents northward to 7 cents per share over the past 90 days. For fiscal 2023, earnings estimates have moved upward by 19 cents to 44 cents per share in the past 90 days.Coupa's earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 478.1%. Shares of COUP have slumped 77% YTD. One Tiny Company Could Shake the EV Industry Zacks Aggressive Growth expert Brian Bolan has pinpointed a U.S. manufacturer with an under-$5 stock price that's gearing for a monster ride. It's ramping up production of an affordable, "working man's" rival to Tesla just as soaring gas prices and desire for energy independence are set to drive the EV market to $1 trillion in 5 years.See This Stock Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Micron Technology, Inc. (MU): Free Stock Analysis Report Celestica, Inc. (CLS): Free Stock Analysis Report Coupa Software, Inc. (COUP): Free Stock Analysis Report Zscaler, Inc. (ZS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research