Micron Technology (NASDAQ:MU) Trading Up 3.5% - Time to Buy?

Key Points

• Micron Technology's shares increased by 3.5% during trading on Monday, reaching a high of $127.28 and last trading at $123.06, despite a decline in trading volume.
• Analysts have bullish sentiment for Micron, with several firms raising their price targets significantly, resulting in a consensus rating of "Moderate Buy" and an average target of $146.44.
• The company reported better-than-expected quarterly earnings of $1.91 per share on revenue of $9.30 billion, surpassing analysts' expectations and marking a substantial year-over-year earnings increase.

Micron Technology, Inc. (NASDAQ:MU - Get Free Report)'s stock price was up 3.5% during mid-day trading on Monday . The stock traded as high as $127.28 and last traded at $123.06. Approximately 15,637,836 shares changed hands during mid-day trading, a decline of 32% from the average daily volume of 23,104,301 shares. The stock had previously closed at $118.89.

Analyst Upgrades and Downgrades

Several analysts have issued reports on MU shares. KGI Securities downgraded shares of Micron Technology from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, July 23rd. KeyCorp increased their price target on Micron Technology from $135.00 to $160.00 and gave the company an "overweight" rating in a report on Thursday, June 26th. Piper Sandler increased their price target on Micron Technology from $120.00 to $165.00 and gave the company an "overweight" rating in a report on Thursday, June 26th. Susquehanna increased their price target on Micron Technology from $150.00 to $160.00 and gave the company a "positive" rating in a report on Thursday, June 26th. Finally, Wall Street Zen raised Micron Technology from a "hold" rating to a "buy" rating in a report on Saturday, June 14th. One analyst has rated the stock with a sell rating, five have given a hold rating, twenty have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $147.24.

Micron Technology Trading Up 2.8%

The company has a market capitalization of $142.36 billion, a price-to-earnings ratio of 22.87 and a beta of 1.37. The firm has a 50-day moving average price of $116.46 and a 200-day moving average price of $98.21. The company has a current ratio of 2.75, a quick ratio of 1.89 and a debt-to-equity ratio of 0.30.

Micron Technology (NASDAQ:MU - Get Free Report) last released its quarterly earnings results on Wednesday, June 25th. The semiconductor manufacturer reported $1.91 earnings per share for the quarter, beating analysts' consensus estimates of $1.57 by $0.34. Micron Technology had a return on equity of 13.60% and a net margin of 18.41%. The business had revenue of $9.30 billion during the quarter, compared to analyst estimates of $8.83 billion. During the same quarter last year, the company posted $0.62 EPS. As a group, sell-side analysts predict that Micron Technology, Inc. will post 6.08 EPS for the current year.

Micron Technology Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, July 22nd. Stockholders of record on Monday, July 7th were issued a dividend of $0.115 per share. This represents a $0.46 annualized dividend and a dividend yield of 0.4%. The ex-dividend date was Monday, July 7th. Micron Technology's payout ratio is currently 8.29%.

Insider Buying and Selling at Micron Technology

In other news, Director Mary Pat Mccarthy sold 2,404 shares of the company's stock in a transaction dated Tuesday, July 1st. The stock was sold at an average price of $121.28, for a total transaction of $291,557.12. Following the completion of the sale, the director owned 22,550 shares in the company, valued at approximately $2,734,864. This represents a 9.63% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, EVP Sumit Sadana sold 92,638 shares of the company's stock in a transaction dated Friday, June 27th. The stock was sold at an average price of $125.49, for a total value of $11,625,142.62. Following the sale, the executive vice president owned 201,326 shares of the company's stock, valued at approximately $25,264,399.74. This trade represents a 31.51% decrease in their position. The disclosure for this sale can be found here. Insiders sold 286,042 shares of company stock worth $34,679,277 over the last quarter. Insiders own 0.30% of the company's stock.

Hedge Funds Weigh In On Micron Technology

Several large investors have recently made changes to their positions in the business. Brighton Jones LLC increased its position in Micron Technology by 18.3% in the 4th quarter. Brighton Jones LLC now owns 6,318 shares of the semiconductor manufacturer's stock worth $532,000 after buying an additional 976 shares during the period. Bank Pictet & Cie Europe AG raised its holdings in Micron Technology by 19.5% in the 4th quarter. Bank Pictet & Cie Europe AG now owns 85,722 shares of the semiconductor manufacturer's stock valued at $7,214,000 after acquiring an additional 13,985 shares in the last quarter. Bessemer Group Inc. raised its holdings in Micron Technology by 40.1% in the 4th quarter. Bessemer Group Inc. now owns 18,447 shares of the semiconductor manufacturer's stock valued at $1,552,000 after acquiring an additional 5,276 shares in the last quarter. Townsquare Capital LLC raised its holdings in Micron Technology by 12.9% in the 4th quarter. Townsquare Capital LLC now owns 23,494 shares of the semiconductor manufacturer's stock valued at $1,977,000 after acquiring an additional 2,683 shares in the last quarter. Finally, Sagespring Wealth Partners LLC acquired a new position in Micron Technology in the 4th quarter valued at approximately $479,000. Institutional investors and hedge funds own 80.84% of the company's stock.

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.