|Bid||60.97 x 1700|
|Ask||60.98 x 2600|
|Day's range||59.21 - 60.69|
|52-week range||25.43 - 63.42|
|PE ratio (TTM)||9.47|
|Earnings date||22 Mar 2018|
|Forward dividend & yield||N/A (N/A)|
|1y target est||62.75|
In the 71 years since the transistor was invented, that tiny breakthrough has produced enormous technological accomplishments, far more than William Shockley, one of its inventors, could have ever imagined. The bean-counting analysts who track chip giant Broadcom (AVGO) were almost universally in its corner during its $117 billion hostile bid for Qualcomm (QCOM). Now, Wall Street wants to know what Broadcom will try to buy as plan B. Broadcom CEO Hock Tan said on Thursday that Trump’s rejection hasn’t deterred his thirst for acquisitions.
Micron Technology (MU) investors need not be too worried about expansion of DRAM chip capacity by Samsung Electronics (005930KS), according to a note today from KeyBanc Capital Markets analyst Weston Twigg. Twigg, who has an Overweight rating on Micron stock, writes that he spoke yesterday evening with Samsung “to get more clarity on its DRAM expansion plans this year." The upshot, as he sees it, is that the total amount of bits Samsung is driving up with additional capacity is below the level of expected demand, so it’s okay: Samsung, which represents 35-40% of DRAM production, indicated that it may grow its net DRAM wafer starts per month (wspm) by around 10% for the year (implying around 40k in new wspm), and that it would likely exit 2018 at a slightly higher rate than that.
Fears of an oversupply and price wars in the chip-storage market have softened, lifting the stocks of Western Digital, Micron, Smart Global Holdings and others.
The Fed will hold a policy meeting, and another rate hike is expected, while President Trump's steel and aluminum tariffs are due to take effect.
Tristan Gerra with R.W. Baird is having a serious bullish day with NAND flash today, not only raising his price target on memory chip maker Micron Technology (MU), but also raising his rating on shares of its NAND competitor, Western Digital (WDC), to Outperform from Neutral. Gerra observes pricing has held up better than expected for NAND: NAND pricing declines are more muted than supply chain expectations entering the quarter, with contract pricing expected to decline 3-4% in C1Q QoQ, and down in a higher single-digit range in C2Q, also better than seasonal. -We now expect NAND contract pricing to decline 15-20% in C2018, less than our initial expectation, and now within the range of Western Digital's targeted production cost reductions. He thinks two things happen next: supply may become tighter the second half of this year, relative to demand, and that may help to boost margins for Western.
Memory chip maker Micron Technology (MU) is due to report earnings next Thursday, March 22nd, after the closing bell, and J.P. Morgan’s Shawn Quigg offers an options strategy to play it if you’re a little concerned about the 38% run-up in the shares in the last month. The fundamental view on the company is positive, notes Quigg, citing the work of JP Morgan’s Harlan Sur, who has an Outperform rating on the stock, and a $60 price target. Quigg advises "overlaying stock positions with May 65/70/75 call trees (i.e.
Several major companies with non-traditional calendars report earnings in the coming days. Make sure to keep an eye on these companies as they prepare to report during the week of March 19!
CFO Thomas Krause on a conference call with analysts said that he and CEO Hock Tan see potential M&A targets, and would not be held back despite the fact the company had to walk away this week from its hostile bid for Qualcomm (QCOM). There are no ratings changes, that I can see, but price targets are going higher as estimates go higher at many shops.
In March 2017, Texas Comptroller of Public Accounts Glenn Hegar issued a frank assessment of the state’s Employees Retirement System. A number of factors were making ERS’s “viability uncertain,” including unrealistic assumptions about investment returns, the state’s failure to make adequate contributions, earlier retirements and longer life expectancies. Some options Hegar suggested were raising member and/or state contributions, selling bonds to fund the pension, and--always popular in election years--reducing benefits to current and future states hires.
It’s getting harder to find good chip take out targets in the wake of Broadcom’s (AVGO) failed bid to take over Qualcomm (QCOM). A survey by Amit Daryanani of tech companies between $10 billion and $120 billion in value found only 17 companies that might fit the bill given Broadcom CEO Hock Tan’s historical criteria.
Many of Wall Street's favorite high-tech growth companies are trading with stretched valuations, but memory firms like Micron (MU) and Western Digital (WDC) seem to present investors with incredible value opportunities.
The Zacks Analyst Blog Highlights: Micron Technology, Intel, ON Semiconductor and Lam Research
As we witness the fourth technology shift toward AI (artificial intelligence) and IoT (Internet of things), the overall semiconductor industry has increased its R&D (research and development) spending. According to a report by IC Insights, the top ten R&D spenders increased their spending 6% YoY (year-over-year) in 2017, but no one could beat Intel (INTC). Intel spent $13.1 billion in R&D in 2017, which was 3% higher YoY (year-over-year).
President Trump is poised to impose sweeping tariffs on China, unnerving investors Tuesday. Dow Jones giants Boeing, Apple, Intel are at particular risk.
On today's episode of the Tech Talk Tuesday podcast, Ryan McQueeney highlights the rapid growth of memory-chip maker Micron Technology and debates whether the stock could be worth $100 per share within the next year.
In this series, we’ve learned that there’s been a lot of buying activity on Intel (INTC) and Micron Technology (MU), pushing them near their 52-week highs. If these two stocks fall and come closer to their 20-day moving averages, it would be a good time to buy them, as they’d be cheap compared to their earnings potentials. If there’s no major pullback in the stock market, Intel and Micron are likely to achieve their median price targets of $53.5 and $60, respectively, by the end of 2018 or earlier.