NasdaqGS:MU

Stock Analysis Report

Executive Summary

Micron Technology, Inc. manufactures and sells memory and storage solutions worldwide.

Snowflake

Fundamentals

Flawless balance sheet and undervalued.

Risks

  • Micron Technology has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Micron Technology's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

6.0%

NasdaqGS:MU

4.7%

US Semiconductor

2.1%

US Market


1 Year Return

-9.9%

NasdaqGS:MU

4.9%

US Semiconductor

-0.04%

US Market

MU underperformed the Semiconductor industry which returned 5.5% over the past year.

MU underperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

MUIndustryMarket
7 Day6.0%4.7%2.1%
30 Day-4.6%-4.0%-3.2%
90 Day31.7%14.4%2.8%
1 Year-9.9%-9.9%6.9%4.9%2.2%-0.04%
3 Year176.4%176.4%75.6%65.4%41.5%32.3%
5 Year36.5%36.5%111.2%89.9%55.0%37.8%

Price Volatility Vs. Market

How volatile is Micron Technology's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Micron Technology undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Micron Technology's share price is below the future cash flow value, and at a moderate discount (> 20%).

Micron Technology's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Micron Technology is good value based on earnings compared to the US Semiconductor industry average.

Micron Technology is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Micron Technology earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Micron Technology is good value based on assets compared to the US Semiconductor industry average.


Next Steps

Future Growth

How is Micron Technology expected to perform in the next 1 to 3 years based on estimates from 29 analysts?

-2.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Micron Technology's revenue is expected to grow by 2.2% yearly, however this is not considered high growth (20% yearly).

Micron Technology's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Micron Technology's revenue growth is positive but not above the United States of America market average.

Micron Technology's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Micron Technology's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Micron Technology is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

How has Micron Technology performed over the past 5 years?

41.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Micron Technology has delivered over 20% year on year earnings growth in the past 5 years.

Micron Technology's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Micron Technology's 1-year earnings growth is negative, it can't be compared to the US Semiconductor industry average.


Return on Equity

Micron Technology has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Micron Technology used its assets more efficiently than the US Semiconductor industry average last year based on Return on Assets.


Return on Capital Employed

Micron Technology has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Micron Technology's financial position?


Financial Position Analysis

Micron Technology is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Micron Technology's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Micron Technology's level of debt (11.7%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (44.7% vs 11.7% today).

Debt is well covered by operating cash flow (378%, greater than 20% of total debt).

Micron Technology earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 3.5x debt.


Next Steps

Dividend

What is Micron Technology's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Micron Technology's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Micron Technology's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Micron Technology has not reported any payouts.

Unable to verify if Micron Technology's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Micron Technology has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Micron Technology's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Micron Technology's salary, the management and board of directors tenure and is there insider trading?

2.2yrs

Average management tenure


CEO

Sanjay Mehrotra (60yo)

2.3yrs

Tenure

US$14,241,583

Compensation

Mr. Sanjay Mehrotra has been the Chief Executive Officer, President and Director at Micron Technology, Inc. since May 8, 2017. Mr. Mehrotra has more than 29 years of experience in the non-volatile semicond ...


CEO Compensation Analysis

Sanjay's remuneration is about average for companies of similar size in United States of America.

Insufficient data for Sanjay to compare compensation growth.


Management Age and Tenure

2.2yrs

Average Tenure

53yo

Average Age

The tenure for the Micron Technology management team is about average.


Board Age and Tenure

4.4yrs

Average Tenure

62.5yo

Average Age

The tenure for the Micron Technology board of directors is about average.


Insider Trading

Micron Technology individual insiders have only sold shares in the past 3 months, but not in substantial volumes.


Recent Insider Transactions

SellUS$19,48902 Aug 19
Michael Bokan
EntityIndividual
Role
Head of Sales
Senior Vice President of Worldwide Sales
Shares427
Max PriceUS$45.64
SellUS$29,84902 Aug 19
Joel Poppen
EntityIndividual
Role
Chief Legal Officer
Senior VP of Legal Affairs
Shares654
Max PriceUS$45.64

Ownership Breakdown


Management Team

  • Sanjay Mehrotra (60yo)

    CEO, President & Director

    • Tenure: 2.3yrs
    • Compensation: US$14.24m
  • Trevor Schultz (77yo)

    Chief Information Officer & VP of Information Systems

    • Tenure: 4.1yrs
  • Sumit Sadana (50yo)

    Executive VP & Chief Business Officer

    • Tenure: 2.2yrs
    • Compensation: US$6.18m
  • Dave Zinsner (50yo)

    Senior VP & CFO

    • Tenure: 1.5yrs
    • Compensation: US$5.61m
  • Scott DeBoer (53yo)

    Executive Vice President of Technology Development

    • Tenure: 2.2yrs
    • Compensation: US$4.09m
  • Mike Bokan

    Senior Vice President of Worldwide Sales

    • Tenure: 0.8yrs
  • Manish Bhatia (47yo)

    Executive Vice President of Global Operations

    • Tenure: 1.8yrs
    • Compensation: US$10.51m
  • Joel Poppen (55yo)

    Senior VP of Legal Affairs

    • Tenure: 5.7yrs
    • Compensation: US$2.98m
  • Farhan Ahmad

    Senior Director of Investor Relations

    • Tenure: 0.0yrs
  • Rahul Sandil

    Head of Global Marketing

    • Tenure: 0.4yrs

Board Members

  • Bob Switz (73yo)

    Chairman of the Board

    • Tenure: 7.5yrs
    • Compensation: US$526.09k
  • Bob Bailey (62yo)

    Independent Director

    • Tenure: 12.6yrs
    • Compensation: US$373.21k
  • Sanjay Mehrotra (60yo)

    CEO, President & Director

    • Tenure: 2.3yrs
    • Compensation: US$14.24m
  • Rich Beyer (70yo)

    Independent Director

    • Tenure: 6.6yrs
    • Compensation: US$375.63k
  • Steve Gomo (67yo)

    Independent Director

    • Tenure: 0.8yrs
  • Pat Byrne (59yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$373.21k
  • Pat McCarthy (63yo)

    Independent Director

    • Tenure: 0.8yrs
  • MaryAnn Wright (57yo)

    Director

    • Tenure: 0.1yrs

Company Information

Micron Technology, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Micron Technology, Inc.
  • Ticker: MU
  • Exchange: NasdaqGS
  • Founded: 1978
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$49.428b
  • Shares outstanding: 1.10b
  • Website: https://www.micron.com

Number of Employees


Location

  • Micron Technology, Inc.
  • 8000 South Federal Way
  • Boise
  • Idaho
  • 83716
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MUNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 1984
MU *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJun 1984
MTEXTRA (XETRA Trading Platform)YesCommon StockDEEURJun 1984
MTEDB (Deutsche Boerse AG)YesCommon StockDEEURJun 1984
MUSWX (SIX Swiss Exchange)YesCommon StockCHCHFJun 1984
0R2TLSE (London Stock Exchange)YesCommon StockGBUSDJun 1984
MUBIT (Borsa Italiana)YesCommon StockITEURJun 1984
MUWBAG (Wiener Boerse AG)YesCommon StockATEURJun 1984
MUTC34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 1 REP 1 COM USD0.10BRBRLMay 2019

Biography

Micron Technology, Inc. manufactures and sells memory and storage solutions worldwide. The company operates through four segments: Compute and Networking Business Unit, Mobile Business Unit, Storage Busine ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 23:40
End of Day Share Price2019/08/22 00:00
Earnings2019/05/30
Annual Earnings2018/08/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.