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Micron (MU) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Micron (MU - Free Report) closed at $55.87, marking a -0.66% move from the previous day. This move lagged the S&P 500's daily gain of 1.63%. At the same time, the Dow added 1.07%, and the tech-heavy Nasdaq gained 0.3%.
Prior to today's trading, shares of the chipmaker had gained 15.06% over the past month. This has outpaced the Computer and Technology sector's gain of 0.92% and the S&P 500's gain of 2.94% in that time.
Wall Street will be looking for positivity from Micron as it approaches its next earnings report date. In that report, analysts expect Micron to post earnings of $0.04 per share. This would mark a year-over-year decline of 98.15%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.29 billion, down 44.2% from the year-ago period.
MU's full-year Zacks Consensus Estimates are calling for earnings of $0.18 per share and revenue of $19.43 billion. These results would represent year-over-year changes of -97.84% and -36.82%, respectively.
Investors should also note any recent changes to analyst estimates for Micron. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 105.54% lower. Micron is currently a Zacks Rank #4 (Sell).
Investors should also note Micron's current valuation metrics, including its Forward P/E ratio of 312.44. For comparison, its industry has an average Forward P/E of 312.44, which means Micron is trading at a no noticeable deviation to the group.
We can also see that MU currently has a PEG ratio of 80.94. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Semiconductor Memory industry currently had an average PEG ratio of 80.94 as of yesterday's close.
The Semiconductor Memory industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 239, putting it in the bottom 6% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Micron (MU) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Micron (MU - Free Report) closed at $55.87, marking a -0.66% move from the previous day. This move lagged the S&P 500's daily gain of 1.63%. At the same time, the Dow added 1.07%, and the tech-heavy Nasdaq gained 0.3%.
Prior to today's trading, shares of the chipmaker had gained 15.06% over the past month. This has outpaced the Computer and Technology sector's gain of 0.92% and the S&P 500's gain of 2.94% in that time.
Wall Street will be looking for positivity from Micron as it approaches its next earnings report date. In that report, analysts expect Micron to post earnings of $0.04 per share. This would mark a year-over-year decline of 98.15%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.29 billion, down 44.2% from the year-ago period.
MU's full-year Zacks Consensus Estimates are calling for earnings of $0.18 per share and revenue of $19.43 billion. These results would represent year-over-year changes of -97.84% and -36.82%, respectively.
Investors should also note any recent changes to analyst estimates for Micron. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 105.54% lower. Micron is currently a Zacks Rank #4 (Sell).
Investors should also note Micron's current valuation metrics, including its Forward P/E ratio of 312.44. For comparison, its industry has an average Forward P/E of 312.44, which means Micron is trading at a no noticeable deviation to the group.
We can also see that MU currently has a PEG ratio of 80.94. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Semiconductor Memory industry currently had an average PEG ratio of 80.94 as of yesterday's close.
The Semiconductor Memory industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 239, putting it in the bottom 6% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.