Memory chips maker Micron (NYSE:MU) will be reporting results tomorrow after market close. Here’s what to look for.
Micron beat analysts’ revenue expectations by 1.4% last quarter, reporting revenues of $7.75 billion, up 93.3% year on year. It was a very strong quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates and revenue guidance for next quarter exceeding analysts’ expectations.
Is Micron a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Micron’s revenue to grow 84.2% year on year to $8.71 billion, improving from the 15.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.77 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Micron has missed Wall Street’s revenue estimates twice over the last two years.
With Micron being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for semiconductors stocks. However, there has been positive investor sentiment in the segment, with share prices up 8.5% on average over the last month. Micron is up 11.5% during the same time and is heading into earnings with an average analyst price target of $145.92 (compared to the current share price of $108.77).
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