Micron (MU) Target Raised at Needham & Company; Sees 67% Upside
- Rock-Tenn (RKT), MeadWestvaco (MWV) Enter $16B Merger Agreement
- AXIS Capital (AXS), PartnerRe (PRE) to Merge in $11 Billion Deal
- AT&T (T) to Acquire Nextel Mexico in $1.875B Deal (NIHD)
- FXCM, Inc. (FXCM) Issues Update on Month-to-Date Retail Trading Volume, Deal with Leucadia (LUK)
- Generac Holdings (GNRC) Shares on Watch as New York City Braces for Blizzard
Needham & Company analyst Rajvindra Gill reiterated a Buy rating on Micron Technology (NASDAQ: MU) and lifted his price target sharply from $34 to $40, representing 67% upside to yesterday's close.
Gill comments, "We are raising our PT on MU to $40 from $34 following better than expected quarter/guide due to continued favorable pricing in the NAND/DRAM markets thanks in part to the fire at the Hynix plant and lower DRAM supply due to NAND transitions. We remain optimistic about L-T pricing and we forecast DRAM bit supply growth rate in the 20-30% range owing to stable wafer output combined with slowing process node migrations. We believe MU could earn $3 in FY15 and combined with multiple expansion, which we expect to expand as investors realize that the industry is more profitable and more stable than in the past. We see continued upside at these levels."
The firm raised FY 2014 EPS from $2.55 to $2.85 and FY 2015 EPS was raised from $2.85 to $3.00.
Shares of Micron Technology closed at $24.00 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Needham & Company Downgrades Electronic Arts (EA) to Buy
- BofA/Merrill Lynch Downgrades UPS (UPS) to Neutral
- UPDATE: Cowen Downgrades DreamWorks Animation (DWA) to Underperform; Balance Sheet Looks Stretched, Analyst Says
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS View, Analyst PT Change, Hot Comments
Related EntitiesNeedham & Company
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!