Micron Technology (MU) Shares Decline After Revenue, Guidance Misses Expectations

September 29, 2022 4:15 PM EDT

Get instant alerts when news breaks on your stocks. Claim your 1-week free trial to StreetInsider Premium here.

Shares of Micron Technology (NASDAQ: MU) fell over 2% in after-hours trading on Thursday after the company posted fiscal fourth-quarter earnings.

The company topped profit expectations with earnings per share coming in at $1.45, $0.04 better than the analyst estimate of $1.41. However, revenue missed estimates, coming in at $6.64 billion versus the consensus estimate of $6.81 billion.

The semiconductor manufacturing company said it is taking "decisive steps" to reduce its supply growth, including a nearly 50% wafer fab equipment capital expenditure cut compared to last year. It added that it expects to "emerge from this downcycle well positioned to capitalize on the long-term demand for memory and storage.”

Micron also missed guidance estimates. It sees fiscal first-quarter 2023 earnings per share between $0.14-($0.06), versus the consensus of $0.64, while first-quarter revenue between $4 billion and 4.5 billion, versus the consensus of $5.62 billion.

“In fiscal 2022, Micron generated record revenue of $30.8 billion and delivered our sixth consecutive year of positive free cash flow, allowing us to return a record $2.9 billion to our shareholders,” said Micron Technology President and CEO Sanjay Mehrotra. “Our technology and manufacturing leadership in both DRAM and NAND, deep customer relationships, diverse product portfolio, and strong balance sheet put Micron on solid footing to navigate the weakened near-term supply-demand environment."

By Sam Boughedda

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Earnings, Guidance, Hot List

Related Entities