On Sep 27, major Wall Street analysts update their ratings for $Micron Technology (MU.US)$, with price targets ranging from $125 to $165.
BofA Securities analyst Vivek Arya maintains with a buy rating, and maintains the target price at $125.
Barclays analyst Thomas O'Malley maintains with a buy rating, and maintains the target price at $145.
KeyBanc analyst John Vinh maintains with a buy rating, and maintains the target price at $145.
Wedbush analyst Matt Bryson maintains with a buy rating, and adjusts the target price from $170 to $140.
Piper Sandler analyst Harsh Kumar maintains with a buy rating, and maintains the target price at $150.
Furthermore, according to the comprehensive report, the opinions of $Micron Technology (MU.US)$'s main analysts recently are as follows:
Micron's recent financial disclosure indicated a robust quarter and outlook, especially considering the tempered expectations prior to the announcement. The company's earnings per share guidance aligned with initial consensus estimates before recent negative revisions. Micron has reached the goal of securing several hundred million in High Bandwidth Memory (HBM) sales for FY24 and holds the belief that they will generate several billion in the following year. Additionally, they anticipate achieving their targeted mid-20s percentage in DRAM market share for HBM, although there are suggestions that the market forecast may be overly optimistic. Despite Micron's commendable execution, the stock is perceived as costly, and there may be more attractive risk-reward opportunities in the AI and memory sectors.
Micron has demonstrated resilience by delivering favorable results amidst growing macroeconomic challenges, supported by robust data center demand and escalating sales in AI-driven high-bandwidth memory (HBM). Although a milder fiscal second quarter is anticipated due to seasonal factors, projections for FY25 and FY26 EPS have been increased significantly, underscoring a positive outlook for the company's earnings trajectory.
Micron anticipates its High Bandwidth Memory (HBM) share to align with its overall DRAM market share by the calendar year 2025. This projection is key to the investment thesis due to the belief that HBM can achieve gross margins in the low-60% range and represent a 60% compound annual growth rate (CAGR). It is still regarded as one of the top investment ideas, with the valuation deemed attractive and the HBM opportunity seemingly not yet fully reflected in the current market price.
Despite ongoing inventory accumulations at PC and smartphone customers coupled with a softness in end-demand, the anticipated mid-cycle period in the memory sector until the second quarter of 2025 appears to be less severe than initially expected, owing to sustained demand from datacenter clients.
Here are the latest investment ratings and price targets for $Micron Technology (MU.US)$ from 6 analysts:
Note:
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