Micron Technology, Inc. (NASDAQ: MU) reported better-than-expected fiscal-year second-quarter results and issued an upbeat guidance for the third quarter.
The Micron Analysts: Needham analyst Rajvindra Gill maintained a Buy rating on Micron shares and increased the price target from $115 to $130.
Rosenblatt Securities analyst Hans Mosesmann reiterated a Buy rating and hiked the price target from $150 to $165.
Raymond James analyst Chris Caso reiterated a Strong Buy rating and $120 price target.
The Micron Theses:
Micron to Benefit From Recovery In Memory Cycle, Needham Says: The NAND market is stabilizing, while DRAM is experiencing a favorable environment, capitalizing on tight supply, Needham analyst Gill said in a note. Demand is strong across all end markets, including the automobile industry, which is witnessing component shortages, the analyst added.
The company, the analyst said, is cautious about CapEx, and therefore is targeting matching of long-term industry demand with supply.
The next-gen DRAM and NAND that are in volume production and tightness in DRAM supply will likely drive margin expansion, Needham said.
"We expect MU to benefit from the recovery in the memory cycle, which we believe has exited a super-cycle and is now in a more typical cycle," the firm said.
Related Link: Apple Supplier Foxconn: Chip Supply Shortage Will Hurt Shipments, Last Through 2022
View more earnings on MU
Micron A Beneficiary of Bigger, Longer Memory Cycle, Rosenblatt Securities Says: Severe shortages driven by strong demand in virtually all markets drove Micron's beat and raise narrative last night, Rosenblatt Securities analyst Mosesmann said. The analyst expects the dynamic to continue in calendar 2021, given the upward adjustment of bit demand by the company.
The stabilization of the NAND market, implied by the company, comes as a surprise, the analyst said.
"The direction of CapEx we see as quite bullish and it signals to the industry/competitors moderation and discipline, while signaling to customers that the shortage framework likely extends into 2022," the analyst wrote in the note.
Story continues
This cycle, the analyst said, will be bigger, longer, and more profitable than any other due to supply-related dynamics, the slowdown of Moore's Law, and significant memory content expansion to feed high-end compute platforms.
Related Link: 2 Chip Stocks Moving On M&A Rumors: Micron, Western Digital Technical Levels To Watch
Micron's Q2 Checked All Right Boxes, Raymond James Says: Micron's second-quarter report checked all the right boxes, with no increase in CapEx, strong pricing, shortages persisting through the year, resumption of buybacks and incremental NAND improvement, Raymond James analyst Caso said.
The biggest catalyst will be the ramp of 1-alpha DRAM, which will both lower costs as well as provide additional volume, without upsetting the favorable supply/demand balance, the analyst said.
The earnings report provides additional confidence in Raymond James's upside $13 earnings power scenario, since margin improvement is occurring earlier than expected, he added.
Micron Price Action: At last check, Micron shares were at 4.74% to $92.40 on Thursday afternoon.
Related Link: Memory Chipmaker Micron Raises Q2 Guidance Above Street Forecasts
(Photo: Micron Technology)
Latest Ratings for MU
Apr 2021
Mizuho
Maintains
Buy
Apr 2021
Susquehanna
Maintains
Positive
Apr 2021
Goldman Sachs
Reiterates
Buy
View More Analyst Ratings for MU View the Latest Analyst Ratings
See more from Benzinga
2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
See original here:
Why 3 Analysts Think Micron Technology Stock Is An Attractive Choice - Yahoo Finance
- Technology | Define Technology at Dictionary.com [Last Updated On: March 25th, 2016] [Originally Added On: March 25th, 2016]
- Technology | Definition of Technology by Merriam-Webster [Last Updated On: March 25th, 2016] [Originally Added On: March 25th, 2016]
- Technology | Define Technology at Dictionary.com [Last Updated On: March 26th, 2016] [Originally Added On: March 26th, 2016]
- Technology | Definition of Technology by Merriam-Webster [Last Updated On: March 26th, 2016] [Originally Added On: March 26th, 2016]
- Technology Synonyms, Technology Antonyms | Thesaurus.com [Last Updated On: March 27th, 2016] [Originally Added On: March 27th, 2016]
- Technology News | Reuters.com [Last Updated On: March 27th, 2016] [Originally Added On: March 27th, 2016]
- Information technology - Wikipedia, the free encyclopedia [Last Updated On: March 27th, 2016] [Originally Added On: March 27th, 2016]
- Technology - Wikipedia, the free encyclopedia [Last Updated On: June 19th, 2016] [Originally Added On: June 19th, 2016]
- Technology Org - Science and technology news [Last Updated On: July 5th, 2016] [Originally Added On: July 5th, 2016]
- Technology - The Atlantic [Last Updated On: August 27th, 2016] [Originally Added On: August 27th, 2016]
- NOAA Ocean Explorer: Technology [Last Updated On: August 27th, 2016] [Originally Added On: August 27th, 2016]
- History of technology - Wikipedia, the free encyclopedia [Last Updated On: August 27th, 2016] [Originally Added On: August 27th, 2016]
- Technology - Blue Sky Innovation - Chicago Tribune [Last Updated On: August 27th, 2016] [Originally Added On: August 27th, 2016]
- Technology - Northern Illinois University [Last Updated On: August 27th, 2016] [Originally Added On: August 27th, 2016]
- Technology Jobs - Monster.com [Last Updated On: August 27th, 2016] [Originally Added On: August 27th, 2016]
- Urban Dictionary: technology [Last Updated On: January 5th, 2017] [Originally Added On: January 5th, 2017]
- IHS Technology The Source for Critical Information and ... [Last Updated On: January 5th, 2017] [Originally Added On: January 5th, 2017]
- Technology | NFL Football Operations [Last Updated On: January 5th, 2017] [Originally Added On: January 5th, 2017]
- Legaltech News - Law Technology News [Last Updated On: January 5th, 2017] [Originally Added On: January 5th, 2017]
- Reddit: Technology [Last Updated On: January 14th, 2017] [Originally Added On: January 14th, 2017]
- National Education Technology Plan - Office of Educational ... [Last Updated On: January 22nd, 2017] [Originally Added On: January 22nd, 2017]
- Technology: Industries: PwC [Last Updated On: January 22nd, 2017] [Originally Added On: January 22nd, 2017]
- Israeli technology let Super Bowl fans see plays at face mask level - Jerusalem Post Israel News [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- Toyota, Suzuki to work together in green, safety technology - The Japan Times [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- Aston Martin's architect on how to make technology beautiful - The Verge [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- How the New Fox Show APB Approaches Police Technology - Slate Magazine [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- Prosthetic arm technology detects spinal nerve signals - Science Daily [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- In This Year's Super Bowl Of Technology, Intel Led The Way With A Sky Full Of Drones - Forbes [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- Learning From Last Year: Technology Funding Outlooks For 2017 - Forbes [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- Technology - The New York Times [Last Updated On: February 6th, 2017] [Originally Added On: February 6th, 2017]
- Texas transportation leaders scramble to keep up with car technology - Fort Worth Star Telegram [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- What the Tech: Neuro-Bio Monitor Technology - KFDX [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- How Powerful AI Technology Can Lead to Unforeseen Disasters - Fortune [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- Microsoft's AI group debuts customizable speech-to-text technology, rapidly expanding 'cognitive services' for ... - GeekWire [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- How 3-D technology helped surgeons separate conjoined twins - CNN [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- These Four Black Women Inventors Reimagined the Technology of the Home - Smithsonian [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- Broadcaster dangles new technology for Winter Olympics - Reuters [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- A flare for self-destruction: How technology is the means, not the cause, of our demise - National Post [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- How 3D and Self-Design Will Change Technology - Huffington Post [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- Republicans Aim to Kill Election Technology Standards Agency - Gizmodo [Last Updated On: February 7th, 2017] [Originally Added On: February 7th, 2017]
- Sean Spicer: Coal will be one of the cleanest uses of technology that we have - The Independent [Last Updated On: February 9th, 2017] [Originally Added On: February 9th, 2017]
- Is technology getting in the way of togetherness? - Las Vegas Weekly (blog) [Last Updated On: February 9th, 2017] [Originally Added On: February 9th, 2017]
- Panera surges to record as Wall Street eyes payoff from technology - Reuters [Last Updated On: February 9th, 2017] [Originally Added On: February 9th, 2017]
- Coming technology will likely destroy millions of jobs. Is Trump ready? - Washington Post [Last Updated On: February 9th, 2017] [Originally Added On: February 9th, 2017]
- How Technology Transforms Dreamers Into Economic Powerhouses - Forbes [Last Updated On: February 9th, 2017] [Originally Added On: February 9th, 2017]
- Technology Trends That Will Shape 2017 and Boost Your Company's UX - Entrepreneur [Last Updated On: February 9th, 2017] [Originally Added On: February 9th, 2017]
- United Airlines Experiences Another Technology Glitch - Wall Street Journal [Last Updated On: February 9th, 2017] [Originally Added On: February 9th, 2017]
- A growing concern: Technology and transportation - Florida Today [Last Updated On: February 10th, 2017] [Originally Added On: February 10th, 2017]
- Aberdeen Oil and Gas Technology centre due to open - BBC News [Last Updated On: February 10th, 2017] [Originally Added On: February 10th, 2017]
- Opinion: Ethics should be front and center with technology but isn't always - The Mercury News [Last Updated On: February 10th, 2017] [Originally Added On: February 10th, 2017]
- Yes, there's a job creation argument for automation and technology - The Hill (blog) [Last Updated On: February 10th, 2017] [Originally Added On: February 10th, 2017]
- Nasdaq plans venture arm to invest in financial technology: sources ... - Reuters [Last Updated On: February 10th, 2017] [Originally Added On: February 10th, 2017]
- Volvo melds technology and luxury in the XC90 T8 hybrid - Engadget [Last Updated On: February 10th, 2017] [Originally Added On: February 10th, 2017]
- Our seas have become a plastic graveyard - but can technology turn the tide? - Telegraph.co.uk [Last Updated On: February 12th, 2017] [Originally Added On: February 12th, 2017]
- Technology identifying fastest checkout lanes comes to metro - KCCI Des Moines [Last Updated On: February 12th, 2017] [Originally Added On: February 12th, 2017]
- This Technology Could Be a Game-Changer for the Marijuana Industry - Fox Business [Last Updated On: February 12th, 2017] [Originally Added On: February 12th, 2017]
- Small cell technology is large endeavor for state - Crain's Cleveland Business [Last Updated On: February 12th, 2017] [Originally Added On: February 12th, 2017]
- Grapevine: Technology at any age - Jerusalem Post Israel News [Last Updated On: February 12th, 2017] [Originally Added On: February 12th, 2017]
- Feeling Tied to Technology? Neuroscientist Offers Tips to Focus and Recharge Your Brain - whotv.com [Last Updated On: February 12th, 2017] [Originally Added On: February 12th, 2017]
- The technology fixing Britain's parking problem - The Independent [Last Updated On: February 12th, 2017] [Originally Added On: February 12th, 2017]
- DHS Developing Technology to Identify Terrorist Travelers - Breitbart News [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- New technology has display designers thinking outside the rectangle - The Japan Times [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- Graph Technology A Data Standby By For Every Fortune 500 Company - Computer Business Review [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- Tesla obtains patent for charging metal-air battery technology that could enable longer range - Electrek [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- Tim Cook: Augmented Reality is as big of a technology as the smartphone - BGR [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- Franklin County's 911 centers sharing technology to receive texts - Columbus Dispatch [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- A New Angel Investing Platform Connects Deep Technology And Science Startups With Capital - Forbes [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- How technology is encouraging society to be stupid - The Next Web [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- Technology puts 'touch' into long-distance relationships - Phys.Org [Last Updated On: February 13th, 2017] [Originally Added On: February 13th, 2017]
- VW plans to use Mobileye sensing and localization technology - Automotive News (subscription) (blog) [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- How dangerous is technology? - OUPblog (blog) [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- Valentine's day: what's your secret technology crush? - Naked Security [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- Johnston educators among presenters at technology conference - News & Observer [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- Is Magic Leap Lying About Its Acid Trip Technology? - Vanity Fair [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- A look at North Korea's missile launches and technology - ABC News [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- Parents and technology How much is too much? - WGBA-TV [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- Apple's Eddy Cue says technology companies have a responsibility to combat fake news - Recode [Last Updated On: February 14th, 2017] [Originally Added On: February 14th, 2017]
- Statistical agencies looking to C-suite, new digital tools to address biggest challenges - FederalNewsRadio.com [Last Updated On: February 15th, 2017] [Originally Added On: February 15th, 2017]
- Even Indian technology entrepreneurs think they are living in a bubble - Quartz [Last Updated On: February 15th, 2017] [Originally Added On: February 15th, 2017]
- Is Hyperloop transportation technology coming to India? - YourStory.com [Last Updated On: February 15th, 2017] [Originally Added On: February 15th, 2017]