Micron Technology (MU) PT Raised to $100 at Baird, Remains Top Pick for 2018 on Strong Memory Trends
Get Alerts MU Hot Sheet
Rating Summary:
45 Buy, 7 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 17
Join SI Premium – FREE
Baird raised its price target on Micron Technology (NASDAQ: MU) to $100.00 (from $60.00) while maintaining a Outperform rating.
Analyst Tristan Gerra comments "Raising our estimates on stronger-than-expected memory trends. In DRAM, we expect a significant increase in contract pricing in C1H18, while NAND flash C1H pricing reductions are more muted than previously expected. Micron remains our top large-cap idea for 2018." The analyst cited the same memory trends for an earlier upgrade on Western Digital (NASDAQ: WDC) to Outperform.
As for the specifics on NAND, Gerra comments "while pricing is declining, declines are more muted than our initial expectation, with contract pricing expected to decline 3-4% in C1Q QoQ, and in a higher single-digit range in C2Q, also better than seasonal."
The analyst is now expecting NAND contract pricing to decline 15-20% in C2018 which is less than previously expected and "possibly less than Micron's targeted production cost reductions this year (easy comps/improving mix)."
Gerra also believes ADAS will drive demand for 1 terabyte NAND storage in vehicles.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- QuantumScape (QS) PT Lowered to $6 at Truist Securities
- Micron Technology (MU) Applies for Federal Funding for Modernization of Long-lifecycle DRAM Products
- Synovus Financial (SNV) PT Lowered to $42 at Piper Sandler
Create E-mail Alert Related Categories
Analyst Comments, Analyst PT Change, Hot CommentsRelated Entities
Robert W BairdSign 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!