Micron Technology (NASDAQ:MU) Hits New 1-Year High – Here’s What Happened

Micron Technology, Inc. (NASDAQ:MU) shares hit a new 52-week high during trading on Tuesday . The company traded as high as $848.73 and last traded at $848.37, with a volume of 10988373 shares changing hands. The stock had previously closed at $751.00.

Key Headlines Impacting Micron Technology

Here are the key news stories impacting Micron Technology this week:

• Positive Sentiment: UBS and other analysts turned increasingly bullish, arguing Micron is one of the biggest AI winners and has more room to run as memory shortages and AI data-center demand remain strong.
• Positive Sentiment: Micron crossed the $1 trillion market-cap milestone, a symbolic validation of the stock’s massive re-rating on AI-driven demand for DRAM and HBM memory chips.
• Positive Sentiment: Recent earnings and guidance were exceptionally strong, with revenue and EPS well above expectations and management pointing to very high gross margins, which supports optimism about continued cash-flow growth.
• Positive Sentiment: Analysts highlighted that long-term supply contracts and persistent chip shortages may keep pricing favorable well into the next few years, reducing the usual cyclicality investors fear in memory chips.
• Neutral Sentiment: Micron also announced it will report fiscal third-quarter results on June 24, keeping attention on whether this momentum can be sustained.
• Negative Sentiment: Some commentary warned the stock may be getting expensive after its huge run, and insider selling plus the risk of a future memory-cycle downturn could eventually pressure sentiment.

Analyst Ratings Changes

Several research analysts have weighed in on MU shares. UBS Group raised Micron Technology from a “buy” rating to a “neutral” rating in a research report on Tuesday. TD Cowen lifted their target price on Micron Technology from $550.00 to $660.00 and gave the stock a “buy” rating in a research note on Tuesday, April 28th. Deutsche Bank Aktiengesellschaft boosted their price target on shares of Micron Technology from $500.00 to $550.00 and gave the stock a “buy” rating in a report on Thursday, March 19th. Rosenblatt Securities restated a “buy” rating and set a $500.00 price objective on shares of Micron Technology in a report on Monday, March 16th. Finally, Summit Insights lowered shares of Micron Technology from a “buy” rating to a “hold” rating in a research report on Thursday, March 19th. Five research analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, Micron Technology currently has a consensus rating of “Buy” and an average target price of $566.47.

Micron Technology Price Performance

The stock has a market capitalization of $1.05 trillion, a P/E ratio of 43.83 and a beta of 1.91. The company has a quick ratio of 2.32, a current ratio of 2.90 and a debt-to-equity ratio of 0.13. The firm has a fifty day moving average price of $538.07 and a two-hundred day moving average price of $402.54.

Micron Technology (NASDAQ:MU) last issued its earnings results on Wednesday, March 18th. The semiconductor manufacturer reported $12.20 EPS for the quarter, beating the consensus estimate of $9.19 by $3.01. The business had revenue of $23.86 billion for the quarter, compared to the consensus estimate of $19.97 billion. Micron Technology had a return on equity of 41.16% and a net margin of 41.49%.The company’s revenue was up 196 compared to the same quarter last year. During the same period last year, the business posted $1.56 EPS. On average, analysts expect that Micron Technology, Inc. will post 57.82 EPS for the current year.

Micron Technology Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, April 15th. Shareholders of record on Monday, March 30th were paid a dividend of $0.15 per share. The ex-dividend date was Monday, March 30th. This represents a $0.60 annualized dividend and a yield of 0.1%. This is an increase from Micron Technology’s previous quarterly dividend of $0.12. Micron Technology’s dividend payout ratio (DPR) is currently 2.83%.

Insider Activity at Micron Technology

In related news, EVP Sumit Sadana sold 24,000 shares of Micron Technology stock in a transaction on Friday, April 10th. The stock was sold at an average price of $421.35, for a total value of $10,112,400.00. Following the completion of the sale, the executive vice president owned 224,021 shares of the company’s stock, valued at $94,391,248.35. The trade was a 9.68% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Sanjay Mehrotra sold 40,000 shares of the business’s stock in a transaction dated Friday, May 1st. The shares were sold at an average price of $536.26, for a total value of $21,450,400.00. Following the sale, the chief executive officer owned 424,503 shares of the company’s stock, valued at approximately $227,643,978.78. This represents a 8.61% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 106,000 shares of company stock valued at $47,032,460 over the last ninety days. Company insiders own 0.24% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the business. REAP Financial Group LLC purchased a new position in shares of Micron Technology during the 3rd quarter valued at about $25,000. High Note Wealth LLC boosted its position in shares of Micron Technology by 65.4% in the fourth quarter. High Note Wealth LLC now owns 86 shares of the semiconductor manufacturer’s stock worth $25,000 after purchasing an additional 34 shares during the period. Elevation Wealth Partners LLC increased its stake in shares of Micron Technology by 295.8% in the fourth quarter. Elevation Wealth Partners LLC now owns 95 shares of the semiconductor manufacturer’s stock worth $27,000 after purchasing an additional 71 shares in the last quarter. Kohmann Bosshard Financial Services LLC bought a new stake in shares of Micron Technology during the 1st quarter valued at $27,000. Finally, Steigerwald Gordon & Koch Inc. lifted its stake in shares of Micron Technology by 4,800.0% during the 4th quarter. Steigerwald Gordon & Koch Inc. now owns 98 shares of the semiconductor manufacturer’s stock valued at $28,000 after buying an additional 96 shares in the last quarter. 80.84% of the stock is currently owned by institutional investors.

Micron Technology Company Profile

Micron Technology, Inc is a global semiconductor company that designs and manufactures memory and storage solutions. Its product portfolio includes dynamic random-access memory (DRAM), NAND flash memory, solid-state drives (SSDs), memory modules and embedded memory solutions for a wide range of computing and electronic devices. Micron supplies components used in data centers, enterprise and cloud infrastructure, client computing, mobile devices, automotive systems and industrial applications, and also markets consumer-facing products under the Crucial brand.

Founded in 1978 and headquartered in Boise, Idaho, Micron has grown into an international manufacturer with research, development and production facilities across multiple regions.