daz999999999
08-04 08:06

$Micron Technology(MU)$  


Is Micron Stock Undervalued Right Now

Micron trades at under six times forward earnings right now, and its heavily locked-in revenue explains a lot of the case for the stock staying undervalued.

The company has secured over $100 billion in long term supply contracts, plus roughly $22 billion in customer prepayments, and a lot of that revenue does not move around with short term memory pricing the way it used to.

Sumit Sadana, Micron Chief Business Officer, said:

“These strategic customer agreements cannot be canceled. There is no provision in this agreement to allow a customer to walk away.”

That kind of structure explains a big part of why the Micron stock undervalued argument keeps holding up, even after a genuinely volatile week for the shares.

Samsung and SK Hynix are not going anywhere, and Micron’s own history of boom and bust margin swings stays real too, so none of this is a guarantee.

Some traders even question whether the Micron stock undervalued case resets every time shares jump 15 or 20 percent in a single week.

Still, traders tend to read Micron stock slides like Friday’s as more of a pause than an actual reversal, and the underlying Micron AI demand story looks fully intact for now.

Sharp drops keep happening, memory demand keeps climbing anyway, and that tension will probably define this stock for a while yet.



Micron Technology (MU) Undervalued And Primed To Hit $1,200 - $1,500 In 8 - 12 Weeks Time

@daz999999999：
$Micron Technology(MU)$ Micron Technology (NASDAQ: MU) has been one of the hottest performers on the stock market over the past year, but its shares have witnessed a substantial pullback after reaching a 52-week high on June 25. Specifically, Micron stock is down nearly 28% from its 52-week high. This steep slide in the memory specialist's shares is quite surprising when we consider that it reported incredible results toward the end of June, along with impressive guidance. Clearly, external factors are impacting this high-growth company. So, even if Chinese memory manufacturers bring more supply to the market, undersupply is likely to persist. After all, shipments of personal computers and smartphones are taking a hit due to higher memory prices and limited supply, creating pent-up demand in these markets. So, Micron's addressable market remains robust, and that's precisely why the company's earnings growth is projected to remain strong over the long run. So, savvy investors can consider using the recent pullback in Micron to buy more shares, as it trades at just 19.5 times earnings. The forward earnings multiple of 5.4 is even more attractive, indicating that Micron is extremely undervalued when the company's impressive growth potential is considered. All this makes this AI stock a no-brainer buy, especially given that it is showing signs of stepping on the gas again after an 18% pop on July 30.
Micron Technology (MU) Undervalued And Primed To Hit $1,200 - $1,500 In 8 - 12 Weeks Time

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