Also in Weekend Reads: Medicare and GLP-1s, tech stocks and career advice
Despite Micron's stellar sales and earnings growth, the stock trades at a forward price/earnings valuation that is less than half that of the S&P 500.
Micron's stock typically trades on the cheap because investors have long memories of dramatic cycles of supply and demand in the market for computer memory chips and peripheral devices. The company's sales for its most recent reported fiscal quarter were up 74% from the previous quarter and had increased more than fourfold from the year-earlier quarter. But less than three years ago, the company reported a fiscal 2023 net loss as its annual revenue declined 49%.
And even though its stock price has more than quadrupled this year, Micron's $(MU)$ forward price/earnings ratio of 9.2 is very low when compared with a weighted forward P/E of 20.2 for the S&P 500 SPX, according to FactSet.
Micron's forward P/E has increased slightly this year, because the rolling consensus 12-month earnings-per-share estimate among analysts polled by FactSet, upon which that valuation is based, has increased 284% since the end of 2025.
Micron reported its quarterly results late on Wednesday, and the stock shot up nearly 17% on Thursday as investors reacted to CEO Sanjay Mehrotra's announcement in the earnings press release of new customer agreements meant to "significantly enhance the durability and predictability of Micron's strong financial performance."
Here's why Micron's stock may not remain cheap for long.
More coverage:
-- Micron has suddenly become one of the world's most important stocks
-- SK Hynix's stock soars, and its planned U.S. listing could prove a double-edged sword for Micron
More tech
Here is a sampling of technology-sector coverage during another busy week:
-- Microsoft's stock is suffering a June rout as investors balk at heavy spending
-- Broadcom unveils a custom chip for OpenAI as it challenges Nvidia's dominance
-- Why Palantir's stock is having its worst month in years - even in the midst of an AI boom
-- The 'Magnificent Seven' correction may actually be a sign of a healthy stock market
The anti-space space
Well, maybe not, but SpaceX's $(SPCX)$ stock was down 21% for one week through Thursday. And William Gavin explained what might be causing many other space-related stocks to decline 50% or more this month:
-- SpaceX FOMO is officially over. Space stocks across the board are getting punished.
-- A SpaceX 'investment coma' is driving this major space ETF toward its worst month in six years
Opinion: SpaceX stock is a terrible buy - what that actually means for the bull market
Christine Idzelis shed light on how leveraged exchange-traded funds were spicing up the SpaceX trade in the wake of the company's IPO, for good and bad.
There was also some better news for SpaceX:
-- SpaceX pulls off one of the biggest AI debt deals yet
-- Rocket Lab, Lockheed Martin among the partners in SpaceX's military space-laser project
Individual traders increase the stock market's risk
Increased trading by individuals has led to higher daily volatility in the stock market.
One would expect increasing participation in stock-market trading by individual investors to improve market efficiency. But Joseph Adinolfi explained why increasing trading activity by individuals has actually made the stock market less efficient and increased volatility and risk.
More coverage of markets:
-- Japanese stocks are on fire. Here's what's driving the hot streak.
-- The tech stocks now leading this bull market are far more volatile than the old guard
-- Alphabet's stock is set to join the Dow, pivoting index's industrial roots toward tech
-- A fistful of dollars - five reasons the U.S. currency is rising
Get a job
These articles include advice that may not apply directly to you. But you can spread the word to anyone you care about who is at an early career stage:
-- The No. 1 skill job applicants need in the AI age - and it has nothing to do with tech
-- Employers to college students: Never mind that 4.0 GPA. Go out and get a summer job.
-- At school, it's cheating. At work, it's essential. New grads are caught in a double standard around AI.
Another career risk: Are you paid in company stock?
Some companies provide employees with an opportunity to buy the employer's stock within retirement plans. The standard advice is to avoid purchasing stock in your employer with your own money, because you already have plenty of risk tied to your employer. If the company gets into difficulty, you might lose your job as well as your stock investment.
But what if your employer gives you shares as part of your compensation? Genna Contino shared a rule of thumb that can help you manage this risk automatically.
What to learn as GLP-1s become more readily available for weight loss
Starting next week, people with Medicare Part D coverage who qualify will have access to several GLP-1 medications made by Eli Lilly $(LLY)$ and Novo Nordisk (NVO) for weight loss. Jaimy Lee highlighted what you might need to know about GLP-1s, including side effects.
A different side of Medicare: A $600,000 Ferrari? How healthcare scam artists are laughing at the rest of us.
Be careful when selecting a mortgage loan
If you are buying a home or refinancing one, shop around for a loan. Don't assume you need to go to a mortgage broker and pay an extra fee. And don't assume that a 30-year loan is your only choice. This comparison of 15-year and 30-year mortgage loans shows how you can save hundreds of thousands of dollars in interest payments - or at least build up equity much more quickly in case you move within a few years.
Related: Insurers shifted roof replacement costs onto homeowners thanks to a new federal rule - just in time for hail and hurricane season
Time for your midyear adjustment
The end of the second quarter is a good time to check in on your investment, savings or retirement accounts - something you should do at least twice a year.
In the Fix My Portfolio column, Beth Pinsker provided advice for a four-point midyear money checkup.
More from Beth Pinsker: Americans' 401(k) balances hit record levels last year. See how you compare.
Long-term planning with the Moneyist
Quentin Fottrell is the Moneyist.
This week Quentin Fottrell - the Moneyist - helped a woman whose son lives alone but has special needs, with his expenses covered by a trust. Her complex question is about how to make sure her son is set up financially after she is gone. Should she use the trust's money to buy him a condominium?
More advice from the Moneyist:
-- After losing my son, would it be a mistake to sell my recently purchased house and move to my hometown?
-- I want to leave everything to my sons, but I'm terrified they'll give it to my ex-husband. How do I prevent this?
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June 26, 2026 12:47 ET (16:47 GMT)
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