MICRON TECHNOLOGY INC (MU) Fundamental Analysis & Valuation
NASDAQ:MU • US5951121038
Current stock price
465.66 USD
+39.1 (+9.17%)
At close:
458 USD
-7.66 (-1.64%)
After Hours:
This MU fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. MU Profitability Analysis
1.1 Basic Checks
- In the past year MU was profitable.
- MU had a positive operating cash flow in the past year.
- Of the past 5 years MU 4 years were profitable.
- Each year in the past 5 years MU had a positive operating cash flow.
1.2 Ratios
- MU has a better Return On Assets (23.75%) than 97.39% of its industry peers.
- The Return On Equity of MU (33.28%) is better than 93.91% of its industry peers.
- MU has a better Return On Invested Capital (24.56%) than 95.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.75% | ||
| ROE | 33.28% | ||
| ROIC | 24.56% |
ROA(3y)0.79%
ROA(5y)5.08%
ROE(3y)1.42%
ROE(5y)7%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- MU has a better Profit Margin (41.49%) than 97.39% of its industry peers.
- MU's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 48.50%, MU belongs to the top of the industry, outperforming 97.39% of the companies in the same industry.
- MU's Operating Margin has improved in the last couple of years.
- MU's Gross Margin of 58.44% is amongst the best of the industry. MU outperforms 83.48% of its industry peers.
- MU's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.5% | ||
| PM (TTM) | 41.49% | ||
| GM | 58.44% |
OM growth 3Y-5.79%
OM growth 5Y13.08%
PM growth 3Y-6.83%
PM growth 5Y12.75%
GM growth 3Y-4.15%
GM growth 5Y5.42%
2. MU Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MU is creating value.
- MU has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for MU has been increased compared to 5 years ago.
- The debt/assets ratio for MU has been reduced compared to a year ago.
2.2 Solvency
- MU has an Altman-Z score of 12.67. This indicates that MU is financially healthy and has little risk of bankruptcy at the moment.
- With a decent Altman-Z score value of 12.67, MU is doing good in the industry, outperforming 74.78% of the companies in the same industry.
- MU has a debt to FCF ratio of 0.99. This is a very positive value and a sign of high solvency as it would only need 0.99 years to pay back of all of its debts.
- With a decent Debt to FCF ratio value of 0.99, MU is doing good in the industry, outperforming 75.65% of the companies in the same industry.
- MU has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
- MU's Debt to Equity ratio of 0.13 is in line compared to the rest of the industry. MU outperforms 52.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.99 | ||
| Altman-Z | 12.67 |
ROIC/WACC2.12
WACC11.6%
2.3 Liquidity
- A Current Ratio of 2.90 indicates that MU has no problem at all paying its short term obligations.
- With a Current ratio value of 2.90, MU perfoms like the industry average, outperforming 50.43% of the companies in the same industry.
- A Quick Ratio of 2.32 indicates that MU has no problem at all paying its short term obligations.
- MU has a Quick ratio of 2.32. This is comparable to the rest of the industry: MU outperforms 51.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.9 | ||
| Quick Ratio | 2.32 |
3. MU Growth Analysis
3.1 Past
- MU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 325.63%, which is quite impressive.
- MU shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.98% yearly.
- The Revenue has grown by 85.55% in the past year. This is a very strong growth!
- The Revenue has been growing by 11.76% on average over the past years. This is quite good.
EPS 1Y (TTM)325.63%
EPS 3Y-0.2%
EPS 5Y23.98%
EPS Q2Q%682.05%
Revenue 1Y (TTM)85.55%
Revenue growth 3Y6.71%
Revenue growth 5Y11.76%
Sales Q2Q%196.29%
3.2 Future
- The Earnings Per Share is expected to grow by 19.31% on average over the next years. This is quite good.
- The Revenue is expected to grow by 17.91% on average over the next years. This is quite good.
EPS Next Y611.19%
EPS Next 2Y247.21%
EPS Next 3Y118.09%
EPS Next 5Y19.31%
Revenue Next Year192.14%
Revenue Next 2Y116.11%
Revenue Next 3Y65.13%
Revenue Next 5Y17.91%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. MU Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 21.24, which indicates a rather expensive current valuation of MU.
- MU's Price/Earnings ratio is rather cheap when compared to the industry. MU is cheaper than 91.30% of the companies in the same industry.
- When comparing the Price/Earnings ratio of MU to the average of the S&P500 Index (27.34), we can say MU is valued slightly cheaper.
- The Price/Forward Earnings ratio is 4.66, which indicates a rather cheap valuation of MU.
- Based on the Price/Forward Earnings ratio, MU is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
- MU's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 38.18.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.24 | ||
| Fwd PE | 4.66 |
4.2 Price Multiples
- 89.57% of the companies in the same industry are more expensive than MU, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, MU is valued a bit cheaper than 73.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 51.08 | ||
| EV/EBITDA | 12.89 |
4.3 Compensation for Growth
- MU's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The excellent profitability rating of MU may justify a higher PE ratio.
- A more expensive valuation may be justified as MU's earnings are expected to grow with 118.09% in the coming years.
PEG (NY)0.03
PEG (5Y)0.89
EPS Next 2Y247.21%
EPS Next 3Y118.09%
5. MU Dividend Analysis
5.1 Amount
- With a yearly dividend of 0.12%, MU is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.47, MU pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, MU's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.12% |
5.2 History
- On average, the dividend of MU grows each year by 44.19%, which is quite nice.
- MU has paid a dividend for at least 10 years, which is a reliable track record.
- MU has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)44.19%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
- MU pays out 2.19% of its income as dividend. This is a sustainable payout ratio.
- MU's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP2.19%
EPS Next 2Y247.21%
EPS Next 3Y118.09%
MU Fundamentals: All Metrics, Ratios and Statistics
465.66
+39.1 (+9.17%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)03-18 2026-03-18/amc
Earnings (Next)06-23 2026-06-23/amc
Inst Owners82.37%
Inst Owner Change0.04%
Ins Owners0.21%
Ins Owner Change3.16%
Market Cap525.14B
Revenue(TTM)58.12B
Net Income(TTM)24.11B
Analysts84.62
Price Target529.76 (13.77%)
Short Float %2.79%
Short Ratio0.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.12% |
Yearly Dividend0.47
Dividend Growth(5Y)44.19%
DP2.19%
Div Incr Years0
Div Non Decr Years4
Ex-Date03-30 2026-03-30 (0.15)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)22.34%
Min EPS beat(2)17.39%
Max EPS beat(2)27.28%
EPS beat(4)4
Avg EPS beat(4)15.84%
Min EPS beat(4)2.85%
Max EPS beat(4)27.28%
EPS beat(8)8
Avg EPS beat(8)11.14%
EPS beat(12)12
Avg EPS beat(12)31.99%
EPS beat(16)15
Avg EPS beat(16)15.34%
Revenue beat(2)2
Avg Revenue beat(2)9.28%
Min Revenue beat(2)3.12%
Max Revenue beat(2)15.43%
Revenue beat(4)3
Avg Revenue beat(4)4.55%
Min Revenue beat(4)-2.11%
Max Revenue beat(4)15.43%
Revenue beat(8)3
Avg Revenue beat(8)1.5%
Revenue beat(12)4
Avg Revenue beat(12)1.34%
Revenue beat(16)4
Avg Revenue beat(16)0.19%
PT rev (1m)41.65%
PT rev (3m)79.69%
EPS NQ rev (1m)91.2%
EPS NQ rev (3m)104.89%
EPS NY rev (1m)67.16%
EPS NY rev (3m)98.86%
Revenue NQ rev (1m)58.85%
Revenue NQ rev (3m)65.38%
Revenue NY rev (1m)40.58%
Revenue NY rev (3m)57.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.24 | ||
| Fwd PE | 4.66 | ||
| P/S | 9.04 | ||
| P/FCF | 51.08 | ||
| P/OCF | 17.13 | ||
| P/B | 7.25 | ||
| P/tB | 7.41 | ||
| EV/EBITDA | 12.89 |
EPS(TTM)21.92
EY4.71%
EPS(NY)99.94
Fwd EY21.46%
FCF(TTM)9.12
FCFY1.96%
OCF(TTM)27.18
OCFY5.84%
SpS51.54
BVpS64.25
TBVpS62.82
PEG (NY)0.03
PEG (5Y)0.89
Graham Number178.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.75% | ||
| ROE | 33.28% | ||
| ROCE | 32.32% | ||
| ROIC | 24.56% | ||
| ROICexc | 29.5% | ||
| ROICexgc | 30.17% | ||
| OM | 48.5% | ||
| PM (TTM) | 41.49% | ||
| GM | 58.44% | ||
| FCFM | 17.69% |
ROA(3y)0.79%
ROA(5y)5.08%
ROE(3y)1.42%
ROE(5y)7%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-6.53%
ROICexgc growth 5Y15.16%
ROICexc growth 3Y-6.3%
ROICexc growth 5Y15.49%
OM growth 3Y-5.79%
OM growth 5Y13.08%
PM growth 3Y-6.83%
PM growth 5Y12.75%
GM growth 3Y-4.15%
GM growth 5Y5.42%
F-Score7
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.99 | ||
| Debt/EBITDA | 0.26 | ||
| Cap/Depr | 233.06% | ||
| Cap/Sales | 35.05% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83% | ||
| Profit Quality | 42.64% | ||
| Current Ratio | 2.9 | ||
| Quick Ratio | 2.32 | ||
| Altman-Z | 12.67 |
F-Score7
WACC11.6%
ROIC/WACC2.12
Cap/Depr(3y)132.21%
Cap/Depr(5y)145.52%
Cap/Sales(3y)41.74%
Cap/Sales(5y)40.13%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)325.63%
EPS 3Y-0.2%
EPS 5Y23.98%
EPS Q2Q%682.05%
EPS Next Y611.19%
EPS Next 2Y247.21%
EPS Next 3Y118.09%
EPS Next 5Y19.31%
Revenue 1Y (TTM)85.55%
Revenue growth 3Y6.71%
Revenue growth 5Y11.76%
Sales Q2Q%196.29%
Revenue Next Year192.14%
Revenue Next 2Y116.11%
Revenue Next 3Y65.13%
Revenue Next 5Y17.91%
EBIT growth 1Y358%
EBIT growth 3Y0.54%
EBIT growth 5Y26.38%
EBIT Next Year741.68%
EBIT Next 3Y133.91%
EBIT Next 5Y34.79%
FCF growth 1Y410.7%
FCF growth 3Y-18.79%
FCF growth 5Y82.23%
OCF growth 1Y959.56%
OCF growth 3Y4.9%
OCF growth 5Y16.11%
MICRON TECHNOLOGY INC / MU Fundamental Analysis FAQ
What is the ChartMill fundamental rating of MICRON TECHNOLOGY INC (MU) stock?
ChartMill assigns a fundamental rating of 8 / 10 to MU.
Can you provide the valuation status for MICRON TECHNOLOGY INC?
ChartMill assigns a valuation rating of 8 / 10 to MICRON TECHNOLOGY INC (MU). This can be considered as Undervalued.
How profitable is MICRON TECHNOLOGY INC (MU) stock?
MICRON TECHNOLOGY INC (MU) has a profitability rating of 8 / 10.
What is the valuation of MICRON TECHNOLOGY INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MICRON TECHNOLOGY INC (MU) is 21.24 and the Price/Book (PB) ratio is 7.25.
What is the financial health of MICRON TECHNOLOGY INC (MU) stock?
The financial health rating of MICRON TECHNOLOGY INC (MU) is 7 / 10.