MICRON TECHNOLOGY INC (MU) Fundamental Analysis & Valuation
NASDAQ:MU • US5951121038
Current stock price
377.76 USD
+11.52 (+3.15%)
At close:
379.35 USD
+1.59 (+0.42%)
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
- MU had positive earnings in the past year.
- MU had a positive operating cash flow in the past year.
- MU had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years MU had a positive operating cash flow.
1.2 Ratios
- MU's Return On Assets of 23.75% is amongst the best of the industry. MU outperforms 97.39% of its industry peers.
- With an excellent Return On Equity value of 33.28%, MU belongs to the best of the industry, outperforming 93.91% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 24.56%, MU belongs to the top of the industry, outperforming 95.65% of the companies in the same industry.
| 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 Profit Margin of 41.49%. This is amongst the best in the industry. MU outperforms 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.
- The Gross Margin of MU (58.44%) is better than 82.61% 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
- MU has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- Compared to 1 year ago, MU has more shares outstanding
- Compared to 5 years ago, MU has more shares outstanding
- The debt/assets ratio for MU has been reduced compared to a year ago.
2.2 Solvency
- MU has an Altman-Z score of 11.51. This indicates that MU is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of MU (11.51) is better than 75.65% of its industry peers.
- 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.
- MU has a Debt to FCF ratio of 0.99. This is in the better half of the industry: MU outperforms 75.65% of its industry peers.
- A Debt/Equity ratio of 0.13 indicates that MU is not too dependend on debt financing.
- The Debt to Equity ratio of MU (0.13) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.99 | ||
| Altman-Z | 11.51 |
ROIC/WACC2.14
WACC11.5%
2.3 Liquidity
- MU has a Current Ratio of 2.90. This indicates that MU is financially healthy and has no problem in meeting its short term obligations.
- MU has a Current ratio of 2.90. This is comparable to the rest of the industry: MU outperforms 50.43% of its industry peers.
- A Quick Ratio of 2.32 indicates that MU has no problem at all paying its short term obligations.
- With a Quick ratio value of 2.32, MU perfoms like the industry average, outperforming 51.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.9 | ||
| Quick Ratio | 2.32 |
3. MU Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an impressive 325.63% over the past year.
- Measured over the past years, MU shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.98% on average per year.
- Looking at the last year, MU shows a very strong growth in Revenue. The Revenue has grown by 85.55%.
- 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 Y325.46%
EPS Next 2Y140.8%
EPS Next 3Y80.14%
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.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. MU Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 17.23 indicates a rather expensive valuation of MU.
- 92.17% of the companies in the same industry are more expensive than MU, based on the Price/Earnings ratio.
- When comparing the Price/Earnings ratio of MU to the average of the S&P500 Index (26.21), we can say MU is valued slightly cheaper.
- A Price/Forward Earnings ratio of 7.86 indicates a rather cheap valuation of MU.
- 100.00% of the companies in the same industry are more expensive than MU, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 23.13. MU is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.23 | ||
| Fwd PE | 7.86 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MU is valued cheaply inside the industry as 89.57% of the companies are valued more expensively.
- 74.78% of the companies in the same industry are more expensive than MU, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.36 | ||
| EV/EBITDA | 11.37 |
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.
- MU has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as MU's earnings are expected to grow with 80.14% in the coming years.
PEG (NY)0.05
PEG (5Y)0.72
EPS Next 2Y140.8%
EPS Next 3Y80.14%
5. MU Dividend Analysis
5.1 Amount
- MU has a yearly dividend return of 0.14%, which is pretty low.
- MU's Dividend Yield is a higher than the industry average which is at 0.52.
- Compared to an average S&P500 Dividend Yield of 1.89, MU's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
5.2 History
- The dividend of MU is nicely growing with an annual growth rate of 44.19%!
- 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
- 2.19% of the earnings are spent on dividend by MU. This is a low number and sustainable payout ratio.
- The dividend of MU is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP2.19%
EPS Next 2Y140.8%
EPS Next 3Y80.14%
MU Fundamentals: All Metrics, Ratios and Statistics
377.76
+11.52 (+3.15%)
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 Owners82.22%
Inst Owner Change0%
Ins Owners0.21%
Ins Owner Change2.74%
Market Cap425.17B
Revenue(TTM)58.12B
Net Income(TTM)24.11B
Analysts84.62
Price Target511.82 (35.49%)
Short Float %2.62%
Short Ratio0.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
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)36.86%
PT rev (3m)73.61%
EPS NQ rev (1m)94.97%
EPS NQ rev (3m)104.32%
EPS NY rev (1m)3.19%
EPS NY rev (3m)18.97%
Revenue NQ rev (1m)61.02%
Revenue NQ rev (3m)65.09%
Revenue NY rev (1m)41.99%
Revenue NY rev (3m)57.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.23 | ||
| Fwd PE | 7.86 | ||
| P/S | 7.32 | ||
| P/FCF | 41.36 | ||
| P/OCF | 13.87 | ||
| P/B | 5.87 | ||
| P/tB | 6 | ||
| EV/EBITDA | 11.37 |
EPS(TTM)21.92
EY5.8%
EPS(NY)48.07
Fwd EY12.73%
FCF(TTM)9.13
FCFY2.42%
OCF(TTM)27.23
OCFY7.21%
SpS51.64
BVpS64.38
TBVpS62.94
PEG (NY)0.05
PEG (5Y)0.72
Graham Number178.19
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 | 11.51 |
F-Score7
WACC11.5%
ROIC/WACC2.14
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 Y325.46%
EPS Next 2Y140.8%
EPS Next 3Y80.14%
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 Year466.25%
EBIT Next 3Y94.47%
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 17.23 and the Price/Book (PB) ratio is 5.87.
What is the financial health of MICRON TECHNOLOGY INC (MU) stock?
The financial health rating of MICRON TECHNOLOGY INC (MU) is 7 / 10.