Micron Technology (NASDAQ:MU) Stock Price Up 10.2% After Better-Than-Expected Earnings

Micron Technology, Inc. (NASDAQ:MU) shares shot up 10.2% during trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $263.65 and last traded at $248.55. 63,946,205 shares changed hands during trading, an increase of 169% from the average session volume of 23,804,475 shares. The stock had previously closed at $225.52.

The semiconductor manufacturer reported $4.78 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.77 by $1.01. The business had revenue of $13.64 billion for the quarter, compared to the consensus estimate of $12.62 billion. Micron Technology had a net margin of 22.84% and a return on equity of 17.21%. The business’s revenue was up 56.7% on a year-over-year basis. During the same period in the previous year, the firm earned $1.79 EPS. Micron Technology has set its Q2 2026 guidance at 8.220-8.620 EPS.

Micron Technology Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, January 14th. Stockholders of record on Monday, December 29th will be given a dividend of $0.115 per share. This represents a $0.46 annualized dividend and a dividend yield of 0.2%. The ex-dividend date is Monday, December 29th. Micron Technology’s dividend payout ratio (DPR) is currently 6.06%.

Analysts Set New Price Targets

Several equities analysts recently issued reports on MU shares. Weiss Ratings raised Micron Technology from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Saturday, November 1st. Cantor Fitzgerald increased their price target on shares of Micron Technology from $300.00 to $350.00 and gave the stock an “overweight” rating in a research report on Thursday. Sanford C. Bernstein restated an “outperform” rating on shares of Micron Technology in a report on Thursday. HSBC initiated coverage on shares of Micron Technology in a report on Tuesday, December 9th. They set a “buy” rating and a $330.00 target price on the stock. Finally, TD Cowen boosted their price target on shares of Micron Technology from $275.00 to $300.00 and gave the stock a “buy” rating in a research note on Thursday. Five investment analysts have rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Buy” and a consensus price target of $282.61.

Insider Activity

In related news, EVP Scott J. Deboer sold 82,000 shares of the business’s stock in a transaction on Monday, October 27th. The shares were sold at an average price of $222.81, for a total transaction of $18,270,420.00. Following the completion of the transaction, the executive vice president owned 154,145 shares in the company, valued at approximately $34,345,047.45. The trade was a 34.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Sanjay Mehrotra sold 3,743 shares of the stock in a transaction on Friday, November 7th. The shares were sold at an average price of $233.39, for a total value of $873,578.77. Following the completion of the transaction, the chief executive officer directly owned 396,578 shares in the company, valued at $92,557,339.42. This trade represents a 0.93% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 383,650 shares of company stock valued at $81,602,339 in the last 90 days. Company insiders own 0.24% of the company’s stock.

Institutional Investors Weigh In On Micron Technology

Institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. raised its position in Micron Technology by 0.7% during the 3rd quarter. Vanguard Group Inc. now owns 104,653,450 shares of the semiconductor manufacturer’s stock worth $17,510,615,000 after buying an additional 773,788 shares during the last quarter. State Street Corp raised its position in shares of Micron Technology by 0.6% during the 3rd quarter. State Street Corp now owns 51,659,173 shares of the semiconductor manufacturer’s stock worth $8,643,613,000 after purchasing an additional 285,582 shares during the last quarter. Geode Capital Management LLC lifted its stake in Micron Technology by 1.2% in the 2nd quarter. Geode Capital Management LLC now owns 25,690,491 shares of the semiconductor manufacturer’s stock valued at $3,152,974,000 after buying an additional 314,489 shares in the last quarter. Capital International Investors grew its holdings in Micron Technology by 0.7% during the 3rd quarter. Capital International Investors now owns 23,372,821 shares of the semiconductor manufacturer’s stock valued at $3,910,198,000 after buying an additional 155,860 shares during the last quarter. Finally, Norges Bank purchased a new position in Micron Technology during the second quarter worth $1,980,700,000. Hedge funds and other institutional investors own 80.84% of the company’s stock.

Micron Technology Stock Performance

The company has a quick ratio of 1.79, a current ratio of 2.52 and a debt-to-equity ratio of 0.26. The stock has a fifty day moving average price of $225.54 and a two-hundred day moving average price of $162.83. The company has a market capitalization of $279.40 billion, a price-to-earnings ratio of 32.75, a PEG ratio of 0.34 and a beta of 1.54.

Micron Technology Company Profile

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.