Micron Technology Stock Intrinsic Value – Citi Reaffirms ‘Buy’ Ratings on Micron, Samsung, and SK Hynix as Memory Market Recovers

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Citi recently reaffirmed its ‘buy’ ratings on Micron Technology ($NASDAQ:MU), Samsung, and SK Hynix as the global memory market appears to be bouncing back. This news has provided a much needed boost of confidence in the sector and provides a positive outlook for investors. Micron Technology is an American semiconductor manufacturer that specializes in producing memory chips and storage products. Over the years, the company has produced DRAM, NAND flash memories, and other storage solutions which have been used in a variety of applications. The news of Citi’s ‘buy’ rating on Micron Technology is a welcome sign for investors.

It signals that the global memory market is starting to pick up and could be an indication of even more positive news in the future. Despite decreased demand due to the pandemic, Micron Technology has remained resilient and continues to innovate its product lines to meet the needs of its customers. With the potential for a better market environment, Micron Technology stands to benefit from continued growth.

Price History

On Monday, MICRON TECHNOLOGY stock opened at $61.2 and closed at $60.9, down by 0.6% from prior closing price of 61.2. The downturn in the market due to the pandemic had caused pressure on DRAM and NAND demand, leading to a decrease in pricing.

However, Citi believes that the market will continue to strengthen as demand increases and a recovery trend is observed. Furthermore, the company could also benefit from an improvement in pricing due to a shortage of NAND flash memory. All these factors point to an improving market outlook for Micron and the other companies mentioned. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Micron Technology. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Micron Technology. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Micron Technology. More…

Key Ratios Snapshot

Some of the financial key ratios for Micron Technology are shown below. More…

Analysis – Micron Technology Stock Intrinsic Value

At GoodWhale, we recently conducted an analysis of MICRON TECHNOLOGY‘s fundamentals. Our proprietary Valuation Line indicated a fair value of around $72.0 per share. Currently, the stock is traded at $60.9, which is 15.4% below the fair value calculated by us. This makes MICRON TECHNOLOGY an attractive investment opportunity for those looking for potential undervalued stocks. More…

Peers

In the semiconductor industry, there is intense competition between Micron Technology Inc and its competitors: Intel Corp, Advanced Micro Devices Inc, GLOBALFOUNDRIES Inc. All four companies are striving to develop the most innovative and efficient products to stay ahead of the competition. This competition benefits consumers as it drives down prices and leads to continuous innovation in the semiconductor industry.

– Intel Corp ($NASDAQ:INTC)

Intel is an American multinational corporation and technology company headquartered in Santa Clara, California, in the Silicon Valley. It is the world’s second largest and second highest valued semiconductor chip maker based on revenue after being overtaken by Samsung, and is the inventor of the x86 series of microprocessors, the processors found in most personal computers (PCs). Intel supplies processors for computer system manufacturers such as Apple, Lenovo, HP, and Dell. Intel also makes motherboard chipsets, network interface controllers and integrated circuits, flash memory, graphics chips, embedded processors and other devices related to communications and computing.

As of 2022, Intel has a market capitalization of 106.76 billion dollars. This is a decrease from previous years, likely due to increased competition from other companies such as AMD. Despite this, Intel still remains one of the most valuable and well-known semiconductor companies in the world. In addition to its market cap, Intel also has a return on equity (ROE) of 19.16%. This is a measure of how profitable the company is relative to the amount of money that shareholders have invested. A higher ROE indicates that the company is more efficient at generating profits and is a better investment.

– Advanced Micro Devices Inc ($NASDAQ:AMD)

As of 2022, AMD has a market cap of 92.39B and a ROE of 4.13%. The company is a global semiconductor company that designs, manufactures, and markets computer processors, graphics cards, and related technologies. Its products are used in personal computers, game consoles, and cloud computing.

– GLOBALFOUNDRIES Inc ($NASDAQ:GFS)

As of 2022, GLOBALFOUNDRIES Inc has a market cap of 28.29B and a Return on Equity of 5.09%. The company is a leading provider of advanced semiconductor manufacturing services.

Summary

Investing analysis of Micron Technology has been positive, with Citi reiterating its “Buy” rating on the stock. Citi believes that the memory market is due to rebound, which should increase demand for Micron Technology’s products. Analysts anticipate growth in sales, revenue, and earnings in the upcoming quarter.

The company’s financials are expected to improve and the stock is poised for appreciation as the market recovers. Investors should consider Micron Technology for its potential upside as part of their overall portfolio strategy.