Entering text into the input field will update the search result below

Topeka upgrades Micron following investor meeting, checks

Jun. 19, 2015 8:57 AM ETMicron Technology, Inc. (MU) StockMUBy: Eric Jhonsa, SA News Editor31 Comments
  • Topeka's Suji Desilva, upgrading Micron (NASDAQ:MU) to Buy ahead of its FQ3 report: "We hosted an investor site visit to MU. Despite concerns regarding PC demand and related DRAM pricing, we came away incrementally constructive on the opportunity. From our recent checks, we believe MU has opportunity in a C2H15 PC upgrade cycle driving stabilizing/improving DRAM pricing."
  • He also thinks Micron (has been carrying out a 20nm DRAM transition) is likely to deliver "outsized DRAM cost per bit improvement relative to competitors," sees "steady TLC 3D NAND progress that can drive a demand inflection." and likes the company's "continued commitment to capital returns while maintaining a competitive capex level."
  • Also: Jefferies's Sandeep Bajikar defended Micron once more yesterday, stating (amid fears of aggressive Samsung DRAM pricing/production ramps) Korean checks "suggest investors are likely to find incremental evidence of rational supply-side behavior in 2H15." Though "industry experts in Korea" now expect a 7% 2015 PC shipment drop, Bajikar thinks there's a "good chance" of DRAM under-supply later this year, and (like others) sees the launch of Windows 10 and Intel's Skylake CPUs providing a lift.
  • Battleground stock: Morgan Stanley and Drexel Hamilton have downgraded Micron to bearish ratings this month, and Summit Research has pounded the table.
  • MU +1.6% premarket to $24.85. Shares go for 7x an FY16 (ends Aug. '16) EPS consensus of $3.56 (down from $4.09 90 days ago).

Recommended For You

About MU Stock

SymbolLast Price% Chg
Market Cap
PE
Yield (TTM)
Rev Growth (YoY)
Prev. Close
Compare to Peers

Related Stocks

SymbolLast Price% Chg
MU--
Micron Technology, Inc.