Yesterday, after the market closed, Micron Technology, Inc. (NASDAQ:MU) released their first quarter fiscal 2016 earnings results. The news was a bit mixed, but investors today are very bearish on the stock, based on the fact that the company missed the Street’s expectations for revenue. The stock is down over 6% in pre-market trading.
While Wall Street was expecting revenue to come in at $3.521 billion, Micron Technology, Inc. (NASDAQ:MU) reported just $3.35 billion. Also net income fell to $206 million. The company did, however, beat earnings estimates, as they posted $0.24 per share compared to the Street which had been predicting $0.23 per share.
The stock closed at $14.61 during the last trading session. It is down 45.05% since May 20, 2015 and is downtrending. It has underperformed the S&P500 by 42.79%.
From a total of 23 analysts covering Micron Technology Inc. (NASDAQ:MU) stock, 14 rate it a “Buy”, 1 a “Sell”, and 8 a “Hold”. This means that 61% of the ratings are positive. The highest target price is $33 while the lowest target price is $15.0. The mean of all analyst targets is $22.20 which is 51.95% above today’s ($14.61) stock price. Micron Technology Inc. was the topic of 41 analyst reports since July 29, 2015 according to the firm StockzIntelligence Inc. Maxim Group maintained shares on December 15 with a “Buy” rating. Morgan Stanley maintained shares with a”Equal-Weight” rating and a $16 target share price in their report from an October 2. Needham downgraded MU stock in a recent report from October 21 to a “Hold” rating. Pacific Crest maintained the rating on October 2. Pacific Crest has a “Overweight” rating and a $21 price target on shares. Finally, Deutsche Bank maintained the stock with a “Buy” rating in a report they issued on an October 2.
The institutional sentiment increased to 0.98 in Q2 2015. It’s up 0.12, from 0.86 in 2015Q2. The ratio improved, as 107 funds sold all their Micron Technology, Inc. shares they owned while 203 reduced their positions. 63 funds bought stakes while 242 increased their total positions. Institutions now own 801.58 million shares which is 13.68% less than the previous share count of 928.62 million in 2015Q2.
Alken Asset Management Ltd. holds 20.2% of its total portfolio in Micron Technology, Inc., equating to 23.66 million shares. Dalton Investments Llc owns 2.25 million shares representing 16.95% of their total US portfolio. Moreover, Credit Capital Investments Llc has 14.1% of their total portfolio invested in the company, equating to 1.40 million shares. The New York-based Karamaan Group Llc has a total of 9.66% of their portfolio invested in the stock. Donald Smith & Co. Inc., a New York-based fund reported 14.17 million shares owned.
Since April 20, 2015, the stock had 0 buys, and 1 sale for a total of $80,002 in net activity. Bailey Robert L sold 4,000 shares worth $80,002. Deboer Scott J sold 39,087 shares worth $977,437. Shirley Brian sold 89,750 shares worth $2.58M. Johnson Mercedes sold 18,250 shares worth $509,540.
Micron Technology, Inc. is a global well-known provider of semiconductor devices. The company has a market cap of $15.12 billion. Through the Company’s global operations, it makes and markets a full range of Dynamic Random Access Memory , NAND Flash and NOR Flash memory, as well as other memory technologies, packaging solutions and semiconductor systems for use in leading-edge computing, consumer, networking, automotive, industrial, embedded and mobile products. It has 5.93 P/E ratio. The Firm operates in four divisions: Compute and Networking Business Unit (CNBU), which includes DRAM and NOR Flash products; Mobile Business Unit (MBU), which includes DRAM, NAND Flash and NOR Flash products; Storage Business Unit (SBU), which includes NAND Flash components and Solid-State Drives (SSDs), cloud and removable storage markets.