Micron (MU) Gets Einhorn's Stamp of Approval (Update 1)

Updated from 11:09 a.m. EST to provide Einhorn comments in the third paragraph.

NEW YORK (TheStreet) -- Micron Technology (MU) is shooting up on a vote of support from a financial heavyweight. Speaking at the Robin Hood Investors Conference Thursday morning, Greenlight Capital manager David Einhorn revealed he is long the semiconductor stock. The position would mark a new addition to Greenlight's holdings, as the firm did not list a stake in the company in its most recent third-quarter SEC filing.

Confirming the investment on CNBC, Einhorn rationalized his decision.

"I think it's a business and an industry that's really changing," he said of the company's work in DRAM memory. "What's happened over the years, is it has become such an awful industry that most people have left. It's now consolidated and we're down to three players: Micron, Samsung and Himax.

"You look at the multiples and what their earnings power here can be, we think [Micron's] earnings are going to be a lot better than people think. Next year, maybe $3.50 a share, the following year maybe $4 a share," he said.

Analysts surveyed by Thomson Reuters anticipate net income of $2.04 a share for fiscal 2014 and $2.18 a share for fiscal 2015.

A favorite of TheStreet's since early October, shares of the Boise, Idaho-based business climbed 6.1% to $19.94. Year to date, the stock has exploded 214.2%, dwarfing the S&P 500's 25.92% gain.

Last week, TheStreet technical expert and Trifecta Stocks portfolio manager Bob Lang revealed what the charts were telling him:

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