Micron Technology, Inc. ($MU) Possible Buy to $54 Confident Investor Rating: Good

Company name Micron Technology, Inc.
Stock ticker MU
Live stock price [stckqut]MU[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Good
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $63.58
Target stock price (averages with growth) $93.59
Target stock price (averages with no growth) $63.58
Target stock price (manual assumptions) $63.77

 

The following company description is from Google Finance: https://finance.google.com/finance?q=mu

Micron Technology, Inc. is engaged in semiconductor systems. The Company’s portfolio of memory technologies, including dynamic random-access memory (DRAM), negative-AND (NAND) Flash and NOR Flash are the basis for solid-state drives, modules, multi-chip packages and other system solutions. Its business segments include Compute and Networking Business Unit (CNBU), which includes memory products sold into compute, networking, graphics and cloud server markets; Mobile Business Unit (MBU), which includes memory products sold into smartphone, tablet and other mobile-device markets; Storage Business Unit (SBU), which includes memory products sold into enterprise, client, cloud and removable storage markets, and SBU also includes products sold to Intel through its Intel/Micron Flash Technology (IMFT) joint venture, and Embedded Business Unit (EBU), which includes memory products sold into automotive, industrial, connected home and consumer electronics markets.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Micron Technology, Inc. as long as the indicators that I describe in my book The Confident Investor are favorable. I am adding Micron Technology to my Watch List.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Micron Technology, Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $41.12
  • Growth: 0.2
  • Current EPS (TTM): $6.35
  • P/E: 6.5
  • Future EPS Calc: $15.8
  • Future Stock Price Calc: $102.7
  • Target stock price: $63.77

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I hope that this makes you a Confident Investor.

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