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Based in Boise, Idaho, Micron Technology, Inc. (MU) designs, manufactures, and sells memory and storage products, including Dynamic Random Access Memory (DRAM), NAND flash memory, NOR Flash, 3D XPoint memory, and other technologies. Valued at a market cap of almost $119.7 billion, the company’s solutions are used in computing, consumer, networking, and mobile products. It is expected to announce its fiscal Q1 earnings results on Wednesday, Dec. 18.
Ahead of this event, analysts project the semiconductor company to report a profit of $1.60 per share, up a remarkable 242.9% from a loss of $1.12 per share in the year-ago quarter. The company has a solid track record of consistently beating Wall Street's bottom-line estimates in each of the last four quarters.
The company’s non-GAAP earnings of $1.18 per share in its latest quarter outpaced the consensus estimates by 7.3% and increased from a loss of $1.07 per share in the year-ago quarter. The strong performance was primarily driven by robust AI demand, which led to significant growth in the company’s DRAM, NAND, and bandwidth memory products.
For fiscal 2025, analysts expect MU to report an EPS of $8.31, up significantly by 1332.8% from just $0.58 in fiscal 2024. This growth story continues in fiscal 2026, with EPS expected to increase another 51.4% year-over-year to $12.58.
Shares of MU have rallied 26.3% on a YTD basis, outpacing both the S&P 500 Index's ($SPX) 21.8% rise and the Technology Select Sector SPDR Fund’s (XLK) 20.6% return over the same period.
On Oct. 16, shares of MU gained 4.7% after the company unveiled two new types of DDR-5 memory modules specifically designed for AI personal computers. The new technologies offer speeds that are twice as fast as DDR-4 and 15% faster than traditional DDR-5, representing the company’s focus on continuous technological advancements.
Moreover, the stock closed up 14.7% after its strong Q4 and full-year 2024 earnings release on Sep. 25. Along with its Q4 adjusted EPS, its revenue climbed an impressive 93% year-over-year to $7.75 billion and surpassed the consensus estimates of $7.64 billion.
Analysts' consensus view on Micron Technology’s stock is highly optimistic, with a "Strong Buy" rating overall. Among 27 analysts covering the stock, 23 recommend a "Strong Buy," two suggest a "Moderate Buy," one indicates a “Hold,” and one “suggests a “Strong Sell” rating. The average analyst price target for MU is $146.89, indicating a modest 37.4% potential upside from the current levels.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
