The decline stemmed from "negative articles" on the "capacity/supply" estimates in the memory chip market, Wedbush Securities analyst Betsy Van Hees told MarketWatch. DRAM chip makers could increase their capacity in the fourth quarter, which could have a negative effect, such as oversupply, on companies like Micron, according to a Monday article in EE Times.
More than 18 million shares had changed hands as of 2:33 p.m., compared to the average volume of 25,394,100. The stock had an intraday high of $32.60 and low of $31.45.
- MU's very impressive revenue growth greatly exceeded the industry average of 10.4%. Since the same quarter one year prior, revenues leaped by 71.8%. Growth in the company's revenue appears to have helped boost the earnings per share.
- Powered by its strong earnings growth of 1600.00% and other important driving factors, this stock has surged by 147.80% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, MU should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- MICRON TECHNOLOGY INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, MICRON TECHNOLOGY INC turned its bottom line around by earning $1.00 versus -$1.04 in the prior year. This year, the market expects an improvement in earnings ($3.21 versus $1.00).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Semiconductors & Semiconductor Equipment industry. The net income increased by 1774.4% when compared to the same quarter one year prior, rising from $43.00 million to $806.00 million.
- The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Semiconductors & Semiconductor Equipment industry and the overall market, MICRON TECHNOLOGY INC's return on equity significantly exceeds that of both the industry average and the S&P 500.
- You can view the full analysis from the report here: MU Ratings Report