NEW YORK (TheStreet) -- Shares of Micron Technology Inc (MU) were sliding, lower by 0.56% to $24.33 in early market trading Monday, after analysts at Goldman Sachs downgraded the semiconductor company this morning.
The firm cut its rating to "sell" from "neutral" saying rising supply of DRAM, or dynamic random-access memory, will lower selling prices and contract margins.
Goldman analysts added that they expect DRAM prices to drop 30% over the next three quarters.
Analysts at the firm lowered their price target for Micron shares to $19 from $27.
Also, Micron Technology had coverage initiated with an "outperform" rating by analysts at Cowen. The firm set a price target of $34, saying the company can expand memory margins and trades at a discount to its peers.
Boise, Idaho-based Micron Technology is a global manufacturer and marketer of semiconductor devices, principally NAND Flash, DRAM and NOR Flash memory, as well as other memory technologies, packaging solutions and semiconductor systems for use in computing, consumer, networking, automotive, industrial, embedded and mobile products.
Separately, TheStreet Ratings team rates MICRON TECHNOLOGY INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate MICRON TECHNOLOGY INC (MU) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, attractive valuation levels and expanding profit margins. We feel its strengths outweigh the fact that the company shows weak operating cash flow."