Timing, Fundamentals, and Diversification of Micron Technology Inc. (MU)

The closing price of Micron Technology Inc. (NASDAQ: MU) was $61.26 for the day, down -0.91% from the previous closing price of $61.82. In other words, the price has decreased by -$0.56 from its previous closing price. On the day, 10034957 shares were traded. MU stock price reached its highest trading level at $61.72 during the session, while it also had its lowest trading level at $60.87.

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Ratios:

Our analysis of MU’s different ratios will help us gain a deeper understanding of the company. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 6.09 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 140.10. For the most recent quarter (mrq), Quick Ratio is recorded 2.20 and its Current Ratio is at 3.50. In the meantime, Its Debt-to-Equity ratio is 0.21 whereas as Long-Term Debt/Eq ratio is at 0.20.

Upgrades & Downgrades

On December 22, 2022, UBS reiterated its Buy rating and also upped its target price recommendation from $75 to $70.

Stifel reiterated its Hold rating for the stock on December 22, 2022, while the target price for the stock was revised from $54 to $52.

Insider Transactions:

Also, insider trades can serve as a great indicator of what management thinks about the future direction of a stock’s price. A recent insider transaction in this stock occurred on Aug 16 when Bokan Michael W sold 16,600 shares for $63.82 per share. The transaction valued at 1,059,450 led to the insider holds 119,126 shares of the business.

ARNZEN APRIL S sold 5,600 shares of MU for $425,600 on Mar 24. The SVP, Chief People Officer now owns 89,172 shares after completing the transaction at $76.00 per share. On Feb 16, another insider, Beard Robert P, who serves as the SVP, General Counsel&Secretary of the company, sold 266 shares for $96.17 each. As a result, the insider received 25,581 and left with 10,688 shares of the company.

Valuation Measures:

As of this moment, Micron’s Price-to-Earnings (P/E) ratio for their current fiscal year is 11.11, and their Forward P/E ratio for the next fiscal year is 32.69. For the stock, the TTM Price-to-Sale (P/S) ratio is 2.37 while its Price-to-Book (P/B) ratio in mrq is 1.35.

Stock Price History:

Over the past 52 weeks, MU has reached a high of $96.50, while it has fallen to a 52-week low of $48.43. The 50-Day Moving Average of the stock is 55.55, while the 200-Day Moving Average is calculated to be 59.67.

Shares Statistics:

MU traded an average of 16.10M shares per day over the past three months and 13.29M shares per day over the past ten days. A total of 1.09B shares are outstanding, with a floating share count of 1.09B. Insiders hold about 0.20% of the company’s shares, while institutions hold 82.40% stake in the company. Shares short for MU as of Oct 13, 2022 were 30.14M with a Short Ratio of 25.04M, compared to 32.64M on Sep 14, 2022. Therefore, it implies a Short% of Shares Outstanding of 2.77% and a Short% of Float of 2.78%.

Dividends & Splits

With its trailing 12-month dividend rate of 0.10, MU has a forward annual dividend rate of 0.46. Against a Trailing Annual Dividend Yield of 0.16%, it implies a Forward Annual Dividend Yield of 0.83%. The current Payout Ratio is 7.70% for MU, which recently paid a dividend on Jan 18, 2023 with an ex-dividend date of Oct 06, 2022. Stock splits for the company last occurred on May 01, 2000 when the company split stock in a 2:1 ratio.

Earnings Estimates

The firm’s stock currently is rated by 25 analysts. On average, analysts expect EPS of $0.04 for the current quarter, with a high estimate of $0.11 and a low estimate of $0, while EPS last year was $2.16. The consensus estimate for the next quarter is -$0.14, with high estimates of $0.14 and low estimates of -$0.38.

Analysts are recommending an EPS of between $8.39 and -$0.91 for the fiscal current year, implying an average EPS of $0.53. EPS for the following year is $3.68, with 25 analysts recommending between $8 and $1.22.

Revenue Estimates

A total of 30 analysts have provided revenue estimates for MU’s current fiscal year. The highest revenue estimate was $24.48B, while the lowest revenue estimate was $15.49B, resulting in an average revenue estimate of $18.99B. In the same quarter a year ago, actual revenue was $30.76B, down -38.30% from the average estimate. Based on 25 analysts’ estimates, the company’s revenue will be $27.04B in the next fiscal year. The high estimate is $37.95B and the low estimate is $18.75B. The average revenue growth estimate for next year is up 42.40% from the average revenue estimate for this year.