$Micron Technology(MU)$ Micron's forward PE is just 6…!!! Last quarter's earnings growth was +770%…!!! Now that's what I call a VALUE stock. And the share price is still $100 below the consensus average target. What a bargain.
It's odd that the most profitable US chip company ever is still down about $60 from its all-time high. However, I expect $Micron Technology(MU)$ to be around $530 by August this year.
Among US memory stocks, $Micron Technology(MU)$ by far has the highest percentage gain price target. Analysts will have to re-rate all of them higher. And it won’t be the first time—they’ve been slow to understand the memory shortage and its sustainability.
$Micron Technology(MU)$ Don’t get confused. Micron has run so much... That was the big wave 1 to around 470. Wave 1 from the 60s to 470... about 400 points... Then it made wave 2 down to around 313. Wave 2 was down about 23% of wave 1. Now wave 3 is starting... which could be 100%, 127%, 161%, or 261% of wave 1.
$Micron Technology(MU)$ With FY27 estimates around $100, even a modest PE puts the stock price in rarified air. FY28 will be the focus. More specifically, whether demand can withstand and continue to outpace the new fabrication capacity coming online. Will pricing hold up? Obviously, if demand remains unmet, MU will continue to chug along on expanding earnings, even if the PE never goes above 13. It's all about demand.