Micron Technology (NASDAQ:MU) Shares Gap Down - What's Next?

Key Points

• Micron Technology shares experienced a significant drop, opening at $162.75 after closing at $168.89, with the last trade at $161.12.
• Several analysts have raised their target prices for Micron, with JPMorgan Chase increasing it from $165.00 to $185.00, reflecting strong analyst support with a consensus price target of $163.50.
• The company recently declared a quarterly dividend of $0.115 per share, yielding 0.3%, and has a low dividend payout ratio of 8.29%.

Micron Technology, Inc. (NASDAQ:MU - Get Free Report)'s share price gapped down prior to trading on Friday . The stock had previously closed at $168.89, but opened at $162.75. Micron Technology shares last traded at $161.12, with a volume of 9,362,510 shares traded.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on the stock. KeyCorp upped their target price on shares of Micron Technology from $135.00 to $160.00 and gave the stock an "overweight" rating in a research note on Thursday, June 26th. Barclays upped their target price on shares of Micron Technology from $140.00 to $175.00 and gave the stock an "overweight" rating in a research note on Friday. KGI Securities lowered shares of Micron Technology from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, July 23rd. Erste Group Bank assumed coverage on shares of Micron Technology in a research note on Thursday, August 14th. They issued a "buy" rating for the company. Finally, Arete Research raised shares of Micron Technology to a "strong-buy" rating in a research note on Friday, July 18th. Two research analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and five have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, Micron Technology has a consensus rating of "Moderate Buy" and an average price target of $163.50.

Micron Technology Stock Performance

The stock's 50 day moving average price is $123.82 and its 200 day moving average price is $105.66. The company has a current ratio of 2.75, a quick ratio of 1.89 and a debt-to-equity ratio of 0.30. The company has a market capitalization of $182.11 billion, a price-to-earnings ratio of 29.32 and a beta of 1.47.

Micron Technology (NASDAQ:MU - Get Free Report) last posted its quarterly earnings data on Wednesday, June 25th. The semiconductor manufacturer reported $1.91 EPS for the quarter, topping analysts' consensus estimates of $1.57 by $0.34. Micron Technology had a net margin of 18.41% and a return on equity of 13.60%. The company had revenue of $9.30 billion during the quarter, compared to the consensus estimate of $8.83 billion. During the same period in the prior year, the business posted $0.62 EPS. Micron Technology has set its Q4 2025 guidance at 2.350-2.650 EPS. Analysts expect that Micron Technology, Inc. will post 6.08 earnings per share for the current year.

Micron Technology Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, July 22nd. Stockholders of record on Monday, July 7th were paid a dividend of $0.115 per share. This represents a $0.46 dividend on an annualized basis and a dividend yield of 0.3%. The ex-dividend date was Monday, July 7th. Micron Technology's dividend payout ratio is currently 8.29%.

Insider Activity at Micron Technology

In related news, EVP April S. Arnzen sold 15,000 shares of the firm's stock in a transaction dated Tuesday, June 24th. The shares were sold at an average price of $125.12, for a total value of $1,876,800.00. Following the completion of the sale, the executive vice president directly owned 148,167 shares in the company, valued at approximately $18,538,655.04. This trade represents a 9.19% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, EVP Scott J. Deboer sold 20,000 shares of the firm's stock in a transaction dated Tuesday, June 24th. The shares were sold at an average price of $125.11, for a total transaction of $2,502,200.00. Following the completion of the sale, the executive vice president owned 166,353 shares of the company's stock, valued at $20,812,423.83. This trade represents a 10.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 275,946 shares of company stock worth $34,242,567. Corporate insiders own 0.30% of the company's stock.

Institutional Investors Weigh In On Micron Technology

Hedge funds have recently bought and sold shares of the company. First Command Advisory Services Inc. lifted its stake in Micron Technology by 225.0% in the 2nd quarter. First Command Advisory Services Inc. now owns 221 shares of the semiconductor manufacturer's stock valued at $27,000 after purchasing an additional 153 shares during the last quarter. Howard Hughes Medical Institute acquired a new stake in Micron Technology in the 2nd quarter valued at about $30,000. AlphaQuest LLC lifted its stake in Micron Technology by 13,250.0% in the 2nd quarter. AlphaQuest LLC now owns 267 shares of the semiconductor manufacturer's stock valued at $33,000 after purchasing an additional 265 shares during the last quarter. WealthCollab LLC lifted its stake in Micron Technology by 4,500.0% in the 2nd quarter. WealthCollab LLC now owns 276 shares of the semiconductor manufacturer's stock valued at $34,000 after purchasing an additional 270 shares during the last quarter. Finally, Hilltop National Bank acquired a new stake in Micron Technology in the 2nd quarter valued at about $37,000. 80.84% of the stock is currently owned by institutional investors and hedge funds.

About Micron Technology

Micron Technology, Inc designs, develops, manufactures, and sells memory and storage products worldwide. The company operates through four segments: Compute and Networking Business Unit, Mobile Business Unit, Embedded Business Unit, and Storage Business Unit. It provides memory and storage technologies comprising dynamic random access memory semiconductor devices with low latency that provide high-speed data retrieval; non-volatile and re-writeable semiconductor storage devices; and non-volatile re-writable semiconductor memory devices that provide fast read speeds under the Micron and Crucial brands, as well as through private labels.