Micron (MU) closed at $40.44 in the latest trading session, marking a -1.2% move from the prior day. This move lagged the S&P 500's daily loss of 0.25%. Meanwhile, the Dow gained 0.04%, and the Nasdaq, a tech-heavy index, lost 0.53%.
Prior to today's trading, shares of the chipmaker had lost 1.63% over the past month. This has was narrower than the Computer and Technology sector's loss of 3.92% and the S&P 500's loss of 2.35% in that time.
MU will be looking to display strength as it nears its next earnings release, which is expected to be December 18, 2018. In that report, analysts expect MU to post earnings of $2.91 per share. This would mark year-over-year growth of 18.78%. Meanwhile, our latest consensus estimate is calling for revenue of $8.05 billion, up 18.35% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.32 per share and revenue of $31.06 billion. These totals would mark changes of -13.64% and +2.19%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for MU. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2% lower within the past month. MU is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, MU is holding a Forward P/E ratio of 3.97. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 3.97.
Investors should also note that MU has a PEG ratio of 0.62 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor Memory was holding an average PEG ratio of 0.62 at yesterday's closing price.
The Semiconductor Memory industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 114, putting it in the top 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Micron Technology, Inc. (MU) : Free Stock Analysis Report
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