Micron Technology (NASDAQ: MU) has gone from strength to strength in the past couple of years thanks to the memory boom that started in mid-2016. Shares of the chipmaker have soared nicely as the rise in dynamic random access memory (DRAM) and NAND prices have rubbed off positively on its top and bottom lines.MU data by YCharts.But Micron is known to be a play on memory boom-and-bust cycles, which can put investors on a roller coaster.Should investors keep betting on more upside at Micron, or should they take a step back because a memory-price bust could be in the cards? Here are arguments for both sides.Image Source: Getty Images.Pro: Micron's diversification makes it a good betMicron is trying hard to reduce its dependence on memory price cycles by targeting fast-growing niches like artificial intelligence, self-driving cars, cybersecurity, and video surveillance, among others. The chipmaker announced its entry into the self-driving car market last year with its LPDDR4x memory chip, … [Read more...] about 1 Reason to Buy Micron Technology Stock, and 1 Reason to Stay Away
Micron stock price
What happenedShares of Micron Technology (NASDAQ: MU) rose as much as 12.1% higher on Monday, peaking just after 1 p.m. EDT. At the end of the day, Micron's stock closed 8.8% above Friday's final listing price. Two analyst firms raised their price targets on the memory chip veteran's stock, supported by some remarkably bullish commentary.So whatEvercore ISI analyst C.J. Muse boosted Micron's target price from $60 to $80 per share, citing a fundamentally different memory market that "absolutely" isn't destined to fight another round of pricing wars.At Nomura/Instinet, veteran chip analyst Romit Shah moved Micron's price target from $55 to a cool $100 per share. The stock is in the "early stages of another major breakout," in Shah's view. If nothing else, he argues that Micron's shares should gather larger price-to-earnings multiples as investors start to embrace the new industry conditions. As a reminder, Micron is trading at a bargain-basement P/E ratio of 9.3 times trailing earnings … [Read more...] about Why Micron Technology, Inc. Stock Jumped as Much as 12% Higher Today
What happenedMicron Technology, Inc.'s (NASDAQ: MU) shares jumped 11.6% last month, according to data provided by S&P Global Market Intelligence, after the company prereleased its fiscal second-quarter 2018 revenue and earnings results. After Micron updated its guidance, two analysts upgraded the company's stock.So whatMicron Technology's management said the company's second-quarter sales would be in the range of $7.2 billion to $7.35 billion, compared to its earlier guidance of $6.8 billion to $7.2 billion. The updated guidance also noted that earnings per share would be in the range between $2.70 and $2.75 per share, compared to prior guidance of $2.51 to $2.65.Image source: Getty Images.That led analysts from Needham & Co. and KeyBanc Capital Markets to both upgrade Micron's stock, with Rajvindra Gill from Needham writing that he believes the company will be able to expand its gross margins for NAND memory and that demand for solid-state drives (SSDs) from clients and data … [Read more...] about Why Shares of Micron Technology Jumped 11% in February
After generating market-trouncing returns in 2017, you might be wondering if Micron (NASDAQ: MU), Align Technology (NASDAQ: ALGN), and Salesforce.com Inc. (NYSE: CRM) can continue to reward you with gains. We asked three Motley Fool investors to consider the catalysts ahead for these companies to see what could be in store for investors, and they think there's still plenty of reason to own them in portfolios. Read on to find out why these three stocks may still be smart buys.Forget about last year's run-up in this memory-maker stockRich Smith (Micron): Up 50% in 2017? Why think so small?IMAGE SOURCE: GETTY IMAGES.Micron stock is up nearly double -- 92% -- over the past year. Of course, while that's great news for investors who bought Micron a year ago, it may worry new investors thinking about buying Micron today.But I wouldn't focus on that.You see, even after shooting up 50% and more in 2017, Micron stock still sports an attractive valuation today. With $7.6 billion in trailing net … [Read more...] about These 3 Stocks Shot Up 50% in 2017 — Are They Still Buys?
The year 2017 was a great one to be an investor. The S&P 500 gained 19% last year, ending every month higher than the month before -- the first time that's happened in history. Tech stocks within the S&P did even better. The S&P 500 Information Technology Index was the standout sector, gaining 36% for the year. With that in mind, let's find out why Activision Blizzard, Inc. (NASDAQ: ATVI), NVIDIA Corporation (NASDAQ: NVDA), PayPal Holdings, Inc. (NASDAQ: PYPL), and Micron Technology, Inc. (NASDAQ: MU) were the four best performers in the S&P's information technology sector for the year. These tech stocks soared in 2017. Image source: Getty Images. Data by YCharts. Game on! Video game developer Activision Blizzard had a banner year in 2017: It started on an up note and never looked back. Early in the year, the company revealed that Call of Duty, its first-person shooter game, became the No. 1 franchise in North America for the eighth consecutive year, and … [Read more...] about The 4 Best Tech Stocks of 2017