Micron (MU - Free Report) closed at $49.19 in the latest trading session, marking a +1.86% move from the prior day. This change outpaced the S&P 500's 1.1% gain on the day. Meanwhile, the Dow gained 1.18%, and the Nasdaq, a tech-heavy index, added 1.09%.
MU will be looking to display strength as it nears its next earnings release, which is expected to be June 29, 2020. In that report, analysts expect MU to post earnings of $0.78 per share. This would mark a year-over-year decline of 25.71%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.32 billion, up 11.14% from the year-ago period.
MU's full-year Zacks Consensus Estimates are calling for earnings of $2.48 per share and revenue of $20.75 billion. These results would represent year-over-year changes of -60.94% and -11.36%, respectively.
Investors might also notice recent changes to analyst estimates for MU. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 19.27% higher. MU is currently sporting a Zacks Rank of #2 (Buy).
In terms of valuation, MU is currently trading at a Forward P/E ratio of 19.44. Its industry sports an average Forward P/E of 19.44, so we one might conclude that MU is trading at a no noticeable deviation comparatively.
Investors should also note that MU has a PEG ratio of 1.89 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Semiconductor Memory was holding an average PEG ratio of 1.89 at yesterday's closing price.
The Semiconductor Memory industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 3, which puts it in the top 2% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.