Wedbush Reiterates Outperform On Micron Technology, $37 Price Target
In a research note published today, Wedbush analyst Betsy Van Hees reiterated an Outperform rating on Micron Technology, Inc. (MU) and a price target of $37.00 representing a potential upside of 14% from where the stock is currently trading.
The analyst noted, “Micron reported FQ3 beat driven by favorable memory supply/demand dynamics and to our surprise and immense delight provided a quantitative FQ4 (Aug) revenue guidance range of $4.0B to $4.2B (flat to up 5% Q/Q) with midpoint above the Street $4.06B and our $4.04B estimates. We saw little movement of the stock in AHs trading as the beat and raise was widely anticipated. We wouldn’t be surprised to see bears press on MU’s need to transition to 16nm TLC NAND to drive cost competitiveness in client SSDs, but note that this isn’t new news or should be viewed as a negative surprise. DRAM demand continues to be strong with supply tight. We expect DRAM cost downs and GM expansion to become more evident in the model as PC DRAM transitions to 25nm and NAND cost structure to improve with TLC ramp”.
According to TipRanks, which measures analysts and bloggers success rate based on how their calls perform, analyst Betsy Van Hees currently has a one-year average return of 25.6% and a 80% success rate. Van Hees has a 64.7% average profit recommending MU, and she is ranked #67 out of 3125 analysts.