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Benzinga
151 days

Micron Technology Posts 2Q Beat: Memory Cyclical Debate Continues, Signs Of Recovery Will Strengthen, Analysts Say

1. Micron's shares dropped 6.98% despite positive quarterly results. 2. Analysts maintain Buy ratings but lower price targets significantly. 3. Fiscal Q2 revenues were $8.05 billion, up 38% YoY, but down 8% sequentially. 4. NAND pricing weakness drags gross margins to 37.9%; guidance suggests further contraction. 5. Strong growth in HBM revenue projected, raising TAM to $35 billion.

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FAQ

Why Bearish?

Despite strong year-on-year growth, MU's stock fell due to weak margins. Historical precedence shows that lowered price targets can lead to negative investor sentiment.

How important is it?

The article highlights earnings results that directly influence MU's stock performance and market perception.

Why Short Term?

Immediate reactions to earnings reports can influence stock prices temporarily, although potential long-term fundamentals appear strong.

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