Micron (MU) ended the recent trading session at $419.42, demonstrating a -4.2% change from the preceding day's closing price. The stock's performance was behind the S&P 500's daily loss of 0.84%. Meanwhile, the Dow experienced a drop of 0.34%, and the technology-dominated Nasdaq saw a decrease of 1.43%.
Coming into today, shares of the chipmaker had gained 40.25% in the past month. In that same time, the Computer and Technology sector gained 1.75%, while the S&P 500 gained 1.8%.
The investment community will be closely monitoring the performance of Micron in its forthcoming earnings report. In that report, analysts expect Micron to post earnings of $8.4 per share. This would mark year-over-year growth of 438.46%. Meanwhile, our latest consensus estimate is calling for revenue of $18.71 billion, up 132.33% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $32.9 per share and revenue of $73.3 billion, which would represent changes of +296.86% and +96.11%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Micron. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.31% higher. Micron presently features a Zacks Rank of #1 (Strong Buy).
Investors should also note Micron's current valuation metrics, including its Forward P/E ratio of 13.31. For comparison, its industry has an average Forward P/E of 24.99, which means Micron is trading at a discount to the group.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 26, positioning it in the top 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Micron Technology, Inc. (MU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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