Micron Technology, Inc. (MU) Shares Fall After President Mark Adams Steps Down


Shares of Micron Technology, Inc. (NASDAQ:MU) are down over 2% in pre-market trading this morning after the company announced that their President Mark Adams will resign as of February 1, 2016 due to personal health reasons. It it not yet known who will take Adams’ place as the company’s president, a position he has held since February of 2012.

“Mark has been a stellar leader and contributor to Micron’s growth and success during his time with the company,” said Micron CEO Mark Durcan. “We thank him for his dedication and service and wish him the very best with his recovery and into the future.”

It should be interesting to follow this story as the company decides on a new president, and investors decide what to make of the news.The stock closed at $14.16 during the last trading session. It is down 49.30% since May 29, 2015 and is downtrending. It has underperformed the S&P500 by 47.18%.

From a total of 28 analysts covering Micron Technology Inc. (NASDAQ:MU) stock, 21 rate it a “Buy”, 1 a “Sell”, and 6 a “Hold”. This means that 75% of the ratings are positive. The highest target price is $33 while the lowest target price is $13. The mean of all analyst targets is $20.98 which is 48.16% above today’s ($14.16) stock price. Micron Technology Inc. was the topic of 51 analyst reports since July 29, 2015 according to the firm StockzIntelligence Inc. Argus Research maintained shares on December 24 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. Sterne Agee CRT maintained MU stock in a recent report from December 23 with a “Buy” rating. Pacific Crest maintained the rating on October 2. Pacific Crest has a “Overweight” rating and a $21 price target on shares. Finally, Cowen & Co maintained the stock with a “Outperform” rating in a report they issued on a December 23.

The institutional sentiment increased to 0.98 in Q2 2015. It’s up 0.12, from 0.86 in 2015Q2. The ratio increased, 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 $2.58 million. 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 $14.66 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 5.75 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.