Micron's (MU) Money Raise Likely For Elpida Bid - Analyst

April 12, 2012 7:52 AM EDT
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Price: $21.71 -2.73%

Rating Summary:
    32 Buy, 8 Hold, 3 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 23 | Down: 34 | New: 34
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Oppenheimer commented on Micron Technology (NASDAQ: MU) following news after the close of an $870 million convertible notes offering. The firm believes the offering is probably to shows "money in the bank" for an Elpida bid.

"If the $870M offering represents all that Micron has to fork over and respective governments retire Elpida and Rexchip debts or Micron puts in a bid together with other cash sources, we could warm up to it. Otherwise, it is more money into the DRAM drain. Not enough details yet, so the saga continues. No changes to our estimates or rating."

The firm maintained their Perform rating on the shares.

For an analyst ratings summary and ratings history on Micron Technology click here. For more ratings news on Micron Technology click here.

Shares of Micron Technology closed at $7.17 yesterday.

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