MICRON TECHNOLOGY INC (MU)
US5951121038 - Common Stock
Overall MU gets a fundamental rating of 3 out of 10. We evaluated MU against 107 industry peers in the Semiconductors & Semiconductor Equipment industry. MU scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. MU does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
MU had negative earnings in the past year.
In the past year MU had a positive cash flow from operations.
MU had positive earnings in 4 of the past 5 years.
In the past 5 years MU always reported a positive cash flow from operatings.
1.2 Ratios
MU's Return On Assets of -5.73% is on the low side compared to the rest of the industry. MU is outperformed by 67.92% of its industry peers.
MU has a Return On Equity of -8.59%. This is in the lower half of the industry: MU underperforms 65.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.73% | ||
| ROE | -8.59% | ||
| ROIC | N/A |
ROA(3y)4.66%
ROA(5y)6.38%
ROE(3y)5.84%
ROE(5y)8.4%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin and Operating Margin and Gross Margin are not available for MU so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
MU does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for MU has been increased compared to 1 year ago.
MU has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MU has a worse debt to assets ratio.
2.2 Solvency
MU has an Altman-Z score of 5.13. This indicates that MU is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.13, MU is in line with its industry, outperforming 58.49% of the companies in the same industry.
A Debt/Equity ratio of 0.30 indicates that MU is not too dependend on debt financing.
MU's Debt to Equity ratio of 0.30 is on the low side compared to the rest of the industry. MU is outperformed by 63.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 5.13 |
ROIC/WACCN/A
WACC12.34%
2.3 Liquidity
A Current Ratio of 3.74 indicates that MU has no problem at all paying its short term obligations.
MU has a better Current ratio (3.74) than 62.26% of its industry peers.
A Quick Ratio of 2.40 indicates that MU has no problem at all paying its short term obligations.
The Quick ratio of MU (2.40) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.74 | ||
| Quick Ratio | 2.4 |
3. Growth
3.1 Past
The earnings per share for MU have decreased strongly by -188.34% in the last year.
The Revenue for MU has decreased by -20.60% in the past year. This is quite bad
Measured over the past years, MU shows a very negative growth in Revenue. The Revenue has been decreasing by -12.55% on average per year.
EPS 1Y (TTM)-188.34%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q173.68%
Revenue 1Y (TTM)-20.6%
Revenue growth 3Y-10.17%
Revenue growth 5Y-12.55%
Revenue growth Q2Q57.7%
3.2 Future
Based on estimates for the next years, MU will show a very strong growth in Earnings Per Share. The EPS will grow by 36.42% on average per year.
MU is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.06% yearly.
EPS Next Y127.5%
EPS Next 2Y111.89%
EPS Next 3Y73.93%
EPS Next 5Y36.42%
Revenue Next Year58.69%
Revenue Next 2Y50.04%
Revenue Next 3Y36.07%
Revenue Next 5Y18.06%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for MU. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 16.18, the valuation of MU can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MU indicates a somewhat cheap valuation: MU is cheaper than 79.25% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.20, MU is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 16.18 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as MU.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 38.54 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as MU's earnings are expected to grow with 73.93% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y111.89%
EPS Next 3Y73.93%
5. Dividend
5.1 Amount
MU has a yearly dividend return of 0.36%, which is pretty low.
MU's Dividend Yield is a higher than the industry average which is at 1.84.
Compared to an average S&P500 Dividend Yield of 2.33, MU's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.36% |
5.2 History
On average, the dividend of MU grows each year by 145.09%, which is quite nice.
MU has been paying a dividend for at least 10 years, so it has a reliable track record.
MU has decreased its dividend in the last 3 years.
Dividend Growth(5Y)145.09%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
MU has negative earnings and hence a negative payout ratio. The dividend may be in danger.
MU's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP-13.49%
EPS Next 2Y111.89%
EPS Next 3Y73.93%
MICRON TECHNOLOGY INC
NASDAQ:MU (5/17/2024, 7:15:02 PM)
After market: 125.6 +0.31 (+0.25%)125.29
-2.6 (-2.03%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap138.74B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.36% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 16.18 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.73% | ||
| ROE | -8.59% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.74 | ||
| Quick Ratio | 2.4 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-188.34%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y127.5%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-20.6%
Revenue growth 3Y-10.17%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y