Micron Technology (NASDAQ:MU) Trading Up 5.5% – Still a Buy?

Micron Technology, Inc. (NASDAQ:MU)’s share price was up 5.5% during trading on Thursday . The company traded as high as $986.20 and last traded at $977.50. 21,692,282 shares traded hands during trading, a decline of 49% from the average daily volume of 42,748,305 shares. The stock had previously closed at $926.55.

Key Stories Impacting Micron Technology

Here are the key news stories impacting Micron Technology this week:

• Positive Sentiment: RBC sees substantial valuation upside. Royal Bank of Canada reaffirmed its “Outperform” rating and assigned a $1,500 price target, arguing that Micron’s exposure to AI-driven memory demand, strategic customer agreements, and floor-pricing arrangements is not fully reflected in its valuation. RBC sees AI memory demand supporting Micron valuation
• Positive Sentiment: Memory scarcity could persist through 2027. Intel CEO Lip-Bu Tan reportedly indicated that memory prices have risen five- to sevenfold and that shortages may continue into next year. The backdrop supports Micron’s pricing power and margins, particularly in high-bandwidth memory used in AI servers. Micron and memory scarcity
• Positive Sentiment: Analysts and commentators remain bullish on AI infrastructure. Jim Cramer ranked Micron second on his technology-stock list, while other coverage highlighted Micron’s position as a major HBM supplier and NVIDIA’s increasing memory requirements. The company’s new 512GB DDR5 server module also strengthens its long-term data-center opportunity. Micron 512GB memory module
• Neutral Sentiment: Earnings are the next major catalyst. Micron has a history of exceeding estimates, and investors expect another strong report on September 30. However, the stock’s large prior gains raise expectations, making guidance on memory pricing, HBM supply, capital spending, and potential buybacks especially important.
• Negative Sentiment: Competitive and execution risks remain. Chinese memory maker CXMT is expanding its NAND capabilities, potentially increasing long-term competition. Separately, workers at Micron’s Taiwan operation have threatened labor action over compensation, creating a possible operational risk. Concerns about slowing price growth, elevated valuation, and the cyclical nature of memory demand could also limit further gains. Micron Taiwan labor tensions

Wall Street Analyst Weigh In

MU has been the topic of a number of recent research reports. Barclays upped their target price on shares of Micron Technology from $1,175.00 to $2,000.00 and gave the company an “overweight” rating in a report on Thursday, June 25th. ThinkEquity reiterated a “buy” rating on shares of Micron Technology in a report on Monday, August 3rd. KeyCorp reissued an “overweight” rating on shares of Micron Technology in a research report on Monday, July 20th. Seaport Research Partners reissued a “buy” rating on shares of Micron Technology in a research note on Friday, August 14th. Finally, Zacks Research lowered shares of Micron Technology from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, August 19th. Four analysts have rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Micron Technology presently has a consensus rating of “Buy” and a consensus target price of $1,295.63.

Micron Technology Trading Up 3.9%

The company has a current ratio of 3.42, a quick ratio of 2.98 and a debt-to-equity ratio of 0.05. The stock has a market capitalization of $1.15 trillion, a price-to-earnings ratio of 23.00, a price-to-earnings-growth ratio of 0.62 and a beta of 2.22. The business has a 50 day simple moving average of $928.01 and a 200-day simple moving average of $773.63.

Micron Technology (NASDAQ:MU) last posted its quarterly earnings data on Wednesday, June 24th. The semiconductor manufacturer reported $25.11 EPS for the quarter, beating analysts’ consensus estimates of $21.39 by $3.72. Micron Technology had a net margin of 55.91% and a return on equity of 71.13%. The company had revenue of $41.46 billion during the quarter, compared to the consensus estimate of $35.91 billion. During the same quarter in the prior year, the company posted $1.91 EPS. The company’s quarterly revenue was up 345.8% compared to the same quarter last year. Micron Technology has set its Q4 2026 guidance at 30.000-32.000 EPS. On average, equities analysts predict that Micron Technology, Inc. will post 72.98 earnings per share for the current year.

Micron Technology Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, July 21st. Shareholders of record on Monday, July 6th were issued a $0.15 dividend. This represents a $0.60 dividend on an annualized basis and a dividend yield of 0.1%. The ex-dividend date was Monday, July 6th. Micron Technology’s dividend payout ratio (DPR) is 1.36%.

Insider Activity at Micron Technology

In other Micron Technology news, CEO Sanjay Mehrotra sold 40,000 shares of the business’s stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $968.90, for a total transaction of $38,756,000.00. Following the completion of the sale, the chief executive officer owned 264,503 shares of the company’s stock, valued at approximately $256,276,956.70. The trade was a 13.14% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Lynn A. Dugle sold 1,300 shares of the business’s stock in a transaction dated Tuesday, June 30th. The shares were sold at an average price of $1,150.43, for a total value of $1,495,559.00. Following the sale, the director directly owned 17,728 shares of the company’s stock, valued at approximately $20,394,823.04. This trade represents a 6.83% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 177,204 shares of company stock worth $182,156,264. 0.24% of the stock is owned by corporate insiders.

Institutional Trading of Micron Technology

A number of institutional investors have recently modified their holdings of MU. Wellington Altus USA Inc. grew its stake in Micron Technology by 497.7% during the second quarter. Wellington Altus USA Inc. now owns 2,116 shares of the semiconductor manufacturer’s stock worth $2,442,000 after buying an additional 1,762 shares during the period. IKE Capital LLC acquired a new position in shares of Micron Technology during the 2nd quarter valued at $629,000. Anchor Investment Management LLC boosted its position in Micron Technology by 2.0% during the 2nd quarter. Anchor Investment Management LLC now owns 12,303 shares of the semiconductor manufacturer’s stock worth $14,201,000 after purchasing an additional 243 shares during the period. Reynders McVeigh Capital Management LLC purchased a new position in Micron Technology in the second quarter valued at about $439,000. Finally, Bullseye Investment Management LLC acquired a new position in shares of Micron Technology during the second quarter worth about $27,000. Hedge funds and other institutional investors own 80.84% of the company’s stock.

Micron Technology Company Profile

Micron Technology, Inc is a global semiconductor company that designs, develops, manufactures and sells memory and storage solutions. Its product portfolio includes dynamic random-access memory (DRAM), NAND flash memory, NOR flash memory, solid-state drives, memory modules and high-bandwidth memory used in data-intensive computing applications.

Micron’s products support a range of markets, including data centers, artificial intelligence and high-performance computing, personal computers, smartphones, automotive systems, industrial equipment and networking devices.