When a company’s stock falls and its earnings stay flat, its valuation or P/E ratio falls, making it more attractive. If they can’t do so now, then MU stock could tumble to $30. Analysts’ average estimate called for earnings of almost $12 per share during the fiscal year, giving MU stock a forward P/E ratio of about five. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. In a few clicks, you will be able to put your vehicle for sale, and to access a large catalogue of cars, vans, buses, trucks, motorbikes, boats and boat engines with pictures, details, prices, leasing and insurance facilities. Thus, MU stock isn’t that much cheaper now than it was in the past. Copyright © It’s now down about 8% from those levels. For instance, Nvidia (NASDAQ:NVDA) tumbled more than 23% in May, MU stock dropped almost 26% from peak to trough and Lam Research (NASDAQ:LRCX) dropped roughly 18%. Although fiscal Q2 pricing came in below our expectations, we are optimistic that demand elasticity and seasonal trends will support improving demand growth in the second half of the calendar year. If MU stock falls below Friday’s lows, it could be in some trouble. Découvrez comment nous utilisons vos informations dans notre Politique relative à la vie privée et notre Politique relative aux cookies. 1125 N. Charles St, Baltimore, MD 21201. MyCar.mu use cookies to enhance your experience. By continuing to visit www.mycar.mu you agree to our. With its margins waning and its revenue and profitability falling, MU stock price has fallen meaningfully from its highs. MU back to $62 before December 1 2020, or EOY 2020. Each stock's consensus analyst rating is derived from its calculated consensus ratings score (0-1.5 = Sell, 1.5-2.5 = Hold, 2.5-3.5 = Buy, >3.5 = Strong Buy). Other executives have made unfavorable observations about memory: Anthony Neri, president and CEO of Hewlett Packard Enterprise (NASDAQ:HPE): “So the overall commodity environment continue to be favorable and there is an oversupply now compared to last year’s as you recall there was shortages and costs going up. 1125 N. Charles St, Baltimore, MD 21201. made in conjunction with its second-quarter results didn’t help, How to Own a Chunk of These Technochasm Building Blocks, There’s No Need to Rush Into Array Technologies Stock Just Yet, Matt McCall and the InvestorPlace Research Staff, Trump vs. Biden: Stocks to Buy No Matter Who Wins the White House, Nio Is a Play on the Chinese Focus on Electric Vehicles, 10 Consumer Stocks for a Reliable Portfolio, 7 Cutting-Edge Biotech Stocks for Tomorrow, Workhorse Stock Will Soar 200% When It Wins the USPS Contract. Micron Technology Inc. MU 51.96 0.18 (0.35%). Article printed from InvestorPlace Media, https://investorplace.com/2019/06/should-micron-stock-be-bought-or-sold/. When its business is tough — like now — the ride is rough for investors. With all that said, Micron is a boom-bust company. MarketBeat's consensus price targets are a mean average of the most recent available price targets set by each analyst that has set a price target for the stock in the last twelve months. The decline in estimates, in conjunction with the decline of MU stock, has kept the P/E ratio relatively constant. Nos partenaires et nous-mêmes stockerons et/ou utiliserons des informations concernant votre appareil, par l’intermédiaire de cookies et de technologies similaires, afin d’afficher des annonces et des contenus personnalisés, de mesurer les audiences et les contenus, d’obtenir des informations sur les audiences et à des fins de développement de produit. Now that semis and tech have caught a bid, see if Micron can hurdle $34 and its 20-day moving average. What they don’t consider is the very basic equation of the P/E ratio. When both price and earnings fall — which is what’s been happening to Micron — the  company’s P/E can remain almost constant. MoLakaz.mu (Buy, Sell and Rent Properties - Mauritius) has 136,072 members. Last July, MU stock was trading at almost $60. MyCar.mu is a platform with exhaustive information of all new and used vehicles for sale, and associated products and services, in Mauritius. Micron’s President and CEO, Sanjay Mehrotra, said this about  NAND and DRAM: “NAND markets remain oversupplied from the acceleration in bit growth driven by the industry transition to 64-layer 3D NAND. They see Micron stock trading at four or five times its earnings and say, “That’s a buy to me!”. Vous pouvez modifier vos choix à tout moment dans vos paramètres de vie privée. Our demand outlook for calendar 2019 has moderated, led by somewhat greater levels of customer inventory, weakening server demand at several enterprise OEM customers and worse-than-expected CPU shortages.”. When its business is good — and it eventually will be — MU stock will be a huge winner. Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. Nasdaq DRAM and NAND aren’t going anywhere, and neither is MU stock. All rights reserved. MyCar.mu is a platform with exhaustive information of all new and used vehicles for sale, and associated products and services, in Mauritius. However, it’s had a much more devastating impact on semiconductors, chip makers and memory producers. Since our last earnings call, DRAM pricing weakened more than expected. Micron’s price action was very discouraging last week , with MU stock topping out near $36. Thus, MU stock isn’t that much cheaper now than it was in the past. Fast forward to June 2019 and the  forward consensus earnings estimate has cratered almost 50%, down to $6.35 per share. Yahoo fait partie de Verizon Media. All rights reserved. As of this writing, Bret Kenwell is long NVDA. Copyright © 2020 InvestorPlace Media, LLC. That’s not surprising. On Thursday evening, the chip maker said it expects first-half headwinds to persist in the second half of the year, after previously expecting them to lift. Informations sur votre appareil et sur votre connexion Internet, y compris votre adresse IP, Navigation et recherche lors de l’utilisation des sites Web et applications Verizon Media. So, too, has the stock price, which is also down almost 50%. Quite simply, the ratio is price divided by earnings. Even if MU slides further from here, it will likely be a good hold over the long term. Otherwise, Micron stock looks risky on the long side in the short-term, particularly with a percolating trade war. The tweet sank the stock market, as the PowerShares QQQ ETF (NASDAQ:QQQ) calmly shed 11.5% in the month of May.