Boise, Idaho-based Micron Technology, Inc. (MU) is an industry leader in innovative memory and storage solutions, transforming how the world uses information to enrich life for all. With a market cap of $101.5 billion, Micron’s operations span the Americas, Europe, and Indo-Pacific. The company offers a rich portfolio of high-performance DRAM, NAND and NOR memory and storage products through its Micron and Crucial brands.
It is expected to announce its second-quarter results on Wednesday, Mar. 19. Ahead of the event, analysts expect MU to report a non-GAAP profit of $1.28 per share, up a staggering 374.1% from $0.27 per share reported in the year-ago quarter. Furthermore, the company has surpassed analysts’ EPS estimates in each of the past four quarters. Its adjusted EPS of $1.62 for the last reported quarter surpassed the consensus estimates by 1.3%.
For fiscal 2025, Micron is expected to report an adjusted EPS of $6.29, up a massive 984.5% from $0.58 in fiscal 2024. While in fiscal 2026, its earnings are expected to increase 72.8% year-over-year to $10.87 per share.
MU stock observed a marginal gain of 23 basis points over the past 52 weeks, substantially underperforming the Technology Select Sector SPDR Fund’s (XLK) 15.8% gains and the S&P 500 Index’s ($SPX) 24.1% surge during the same time frame.
Micron Technology’s stock prices plummeted 16.2% in the trading session after the release of its Q1 results on Dec. 18. Driven by robust growth in data center business, MU’s revenues surged by a robust 84.3% year-over-year to $8.7 billion. Meanwhile, the company reported an even more impressive growth in profitability. Its net income for the quarter skyrocketed to over $2 billion, up from the $1 billion net loss reported in the year-ago quarter.
However, Micron’s Q2 guidance fell massively below the Street’s expectations. It gave a midpoint guidance of $7.9 billion for sales, representing a significant quarter-on-quarter decline. While its non-GAAP EPS guidance of $1.43 also missed analysts’ projections by a large margin, making investors jittery.
Furthermore, MU stock dipped 11.7% on Jan. 27 amid the broader tech selloff created due to the rise of Chinese DeepSeek AI which has challenged the dominance of US firms in the Gen AI market.
However, as of writing, analysts remain strongly bullish on the stock prospects, with an overall “Strong Buy” rating. Out of the 29 analysts covering the stock, 24 recommend “Strong Buy,” two advise “Moderate Buy,” two suggest “Hold,” and one suggests a “Strong Sell” rating. Its mean price target of $131.82, indicates a 49.4% premium to current price levels.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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