Micron Technology (NASDAQ:MU) Shares Up 2.6% - Here's Why

Key Points

• Micron Technology shares rose by 2.6% to close at $191.94 on increased analyst optimism regarding future stock performance, with price targets updated significantly by various firms.
• The company reported $2.86 earnings per share for the last quarter, meeting expectations, while also noting a 46.1% year-over-year revenue growth.
• Micron announced a quarterly dividend of $0.115, set to be paid on October 21st, reflecting a dividend yield of 0.2%.

Micron Technology, Inc. (NASDAQ:MU - Get Free Report) shot up 2.6% on Wednesday . The company traded as high as $192.88 and last traded at $191.94. 17,712,510 shares were traded during mid-day trading, a decline of 24% from the average session volume of 23,351,854 shares. The stock had previously closed at $187.06.

Wall Street Analysts Forecast Growth

A number of analysts have commented on MU shares. Bank of America upped their price objective on shares of Micron Technology from $140.00 to $180.00 and gave the company a "neutral" rating in a research note on Wednesday, September 24th. Wedbush raised their target price on Micron Technology from $200.00 to $220.00 and gave the stock an "outperform" rating in a research report on Wednesday, September 24th. Susquehanna increased their price objective on Micron Technology from $160.00 to $200.00 and gave the stock a "positive" rating in a research note on Wednesday, September 17th. Itau BBA Securities started coverage on Micron Technology in a research note on Tuesday, October 7th. They issued an "outperform" rating and a $249.00 target price for the company. Finally, CLSA started coverage on Micron Technology in a research report on Wednesday, August 27th. They set an "outperform" rating and a $155.00 target price for the company. Five investment analysts have rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating and five have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Buy" and a consensus target price of $194.57.

Micron Technology Stock Up 2.6%

The company has a current ratio of 2.52, a quick ratio of 1.79 and a debt-to-equity ratio of 0.26. The stock has a market cap of $215.45 billion, a P/E ratio of 25.29, a PEG ratio of 0.42 and a beta of 1.56. The firm has a 50-day simple moving average of $146.06 and a two-hundred day simple moving average of $115.39.

Micron Technology (NASDAQ:MU - Get Free Report) last released its earnings results on Tuesday, September 23rd. The semiconductor manufacturer reported $2.86 earnings per share (EPS) for the quarter, hitting the consensus estimate of $2.86. The company had revenue of $11.32 billion for the quarter, compared to analyst estimates of $11.05 billion. Micron Technology had a return on equity of 17.21% and a net margin of 22.84%.Micron Technology's quarterly revenue was up 46.1% on a year-over-year basis. During the same period in the prior year, the firm posted $1.18 EPS. Micron Technology has set its Q1 2026 guidance at 3.600-3.900 EPS. Equities research analysts expect that Micron Technology, Inc. will post 6.08 earnings per share for the current fiscal year.

Micron Technology Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 21st. Shareholders of record on Friday, October 3rd will be given a $0.115 dividend. The ex-dividend date is Friday, October 3rd. This represents a $0.46 annualized dividend and a yield of 0.2%. Micron Technology's dividend payout ratio (DPR) is currently 6.06%.

Insider Buying and Selling

In other news, CFO Mark J. Murphy sold 34,000 shares of the firm's stock in a transaction dated Tuesday, July 22nd. The stock was sold at an average price of $109.32, for a total transaction of $3,716,880.00. Following the completion of the transaction, the chief financial officer directly owned 264,036 shares in the company, valued at $28,864,415.52. This trade represents a 11.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Sanjay Mehrotra sold 21,563 shares of Micron Technology stock in a transaction that occurred on Tuesday, October 7th. The stock was sold at an average price of $188.47, for a total value of $4,063,978.61. Following the completion of the sale, the chief executive officer owned 272,648 shares of the company's stock, valued at approximately $51,385,968.56. The trade was a 7.33% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 146,956 shares of company stock valued at $22,841,025 over the last three months. 0.30% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of MU. Vanguard Group Inc. boosted its position in Micron Technology by 1.9% in the second quarter. Vanguard Group Inc. now owns 103,879,662 shares of the semiconductor manufacturer's stock worth $12,803,168,000 after purchasing an additional 1,973,294 shares during the last quarter. State Street Corp boosted its position in Micron Technology by 2.7% in the second quarter. State Street Corp now owns 51,373,591 shares of the semiconductor manufacturer's stock worth $6,331,795,000 after purchasing an additional 1,349,713 shares during the last quarter. Geode Capital Management LLC boosted its position in Micron Technology by 1.2% in the second quarter. Geode Capital Management LLC now owns 25,690,491 shares of the semiconductor manufacturer's stock worth $3,152,974,000 after purchasing an additional 314,489 shares during the last quarter. Norges Bank purchased a new position in Micron Technology in the second quarter worth $1,980,700,000. Finally, Goldman Sachs Group Inc. boosted its position in Micron Technology by 23.8% in the first quarter. Goldman Sachs Group Inc. now owns 10,616,488 shares of the semiconductor manufacturer's stock worth $922,467,000 after purchasing an additional 2,038,641 shares during the last quarter. Hedge funds and other institutional investors own 80.84% of the company's stock.

Micron Technology Company Profile

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.

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