Micron Reports Earnings Today. What Wall Street Wants From the Memory Chip Maker. — Barrons.com
By Tae Kim
Micron Technology will report its fiscal first-quarter earnings results after the market close Wednesday. Investors are hoping the chip maker will provide a better-than-expected financial outlook than the current consensus.
Wall Street expects Micron to report November-quarter revenue of $12.9 billion with adjusted earnings per share of $3.96. Analysts' estimates for the current quarter's revenue is $14.3 billion with EPS of $4.78.
Micron is a leader in the markets for dynamic random-access memory, or DRAM, used in desktop computers and servers, and for flash memory, found in smartphones and solid-state hard drives. It has also become a key supplier of high-bandwidth memory, or HBM, for artificial-intelligence servers.
On Tuesday, Needham analyst N. Quinn Bolton raised his price target for Micron Technology stock to $300 from $200. He reaffirmed his Buy rating for the shares.
"Demand conditions in the data center market remain robust," he wrote. "We expect the surge in spot market pricing [for memory chips] should drive higher contract pricing over the next several quarters."
Micron shares are up 175% this year, compared to the 19% gain for the Nasdaq Composite index.
Write to Tae Kim at tae.kim@barrons.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
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