© Reuters Micron (MU) rises as outcomes, forecast simply prime expectations
(Up to date – December 21, 2023 5:10 AM EST)
Micron (MU) inventory was up 6% in pre-market Thursday after the chipmaker reported outcomes for the primary quarter that beat the typical analyst estimate.
Micron stated its gross sales rose 16% year-over-year to $4.73 billion, simply forward of the consensus of $4.55 billion. The corporate additionally reported an adjusted working lack of $955 million, which is healthier than the anticipated adjusted earnings of $1.05 billion.
Consequently, Micron’s adjusted loss per share for the primary quarter got here in at 95 cents, topping the consensus of -$1.01.
“Micron’s robust execution and pricing drove better-than-anticipated first quarter monetary outcomes,” stated Micron Expertise (NASDAQ:) President and CEO Sanjay Mehrotra.
“We anticipate our enterprise fundamentals to enhance all through 2024, with file trade TAM projected for calendar 2025.”
For this quarter, Micron sees FQ2 loss per share at $0.28 (up or down 7 cents), simply forward of the anticipated lack of 62 cents. Second-quarter income is anticipated at $5.3 billion, whereas analysts have been searching for $5.03 billion.
Citi analysts reiterated a Purchase ranking and raised the value goal by $7 to $95 per share “given the DRAM upturn and expectations of continued upside.”
Equally, Evercore ISI analyst Matthew Prisco lifted the goal by $10 to $100 per share.
“This was a strong Q for Micron as pricing and margin growth stay the important thing variables in inventory efficiency, and in these areas the corporate stunned to the upside,” Prisco stated in a notice.
“With $11+ in earnings energy more and more achievable in CY25 based mostly on provide/demand and ensuing pricing/margin dynamics, we’re growing our value goal to $100 (from $90) – representing a ~9x P/E a number of. MU stays a Prime Decide and we reiterate our Outperform ranking into this Reminiscence upcycle.”