In the latest trading session, Micron (MU) closed at $57.01, marking a -1.08% move from the previous day. This change lagged the S&P 500's daily loss of 0.67%. At the same time, the Dow lost 0.57%, and the tech-heavy Nasdaq lost 0.14%.
Coming into today, shares of the chipmaker had lost 6.84% in the past month. In that same time, the Computer and Technology sector gained 4.81%, while the S&P 500 gained 3.65%.
Wall Street will be looking for positivity from Micron as it approaches its next earnings report date. In that report, analysts expect Micron to post earnings of $1.52 per share. This would mark a year-over-year decline of 37.19%. Our most recent consensus estimate is calling for quarterly revenue of $6.94 billion, down 16.16% from the year-ago period.
MU's full-year Zacks Consensus Estimates are calling for earnings of $8.41 per share and revenue of $31.05 billion. These results would represent year-over-year changes of +38.78% and +12.08%, respectively.
Any recent changes to analyst estimates for Micron should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.49% lower. Micron is holding a Zacks Rank of #5 (Strong Sell) right now.
Looking at its valuation, Micron is holding a Forward P/E ratio of 6.85. Its industry sports an average Forward P/E of 6.85, so we one might conclude that Micron is trading at a no noticeable deviation comparatively.
It is also worth noting that MU currently has a PEG ratio of 0.51. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor Memory industry currently had an average PEG ratio of 0.51 as of yesterday's close.
The Semiconductor Memory industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 252, which puts it in the bottom 1% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.$Micron Technology(MU)$
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