Micron Technology (MU) EPS Reductions Are Likely Over - JPMorgan

JPMorgan analyst, Harlan Sur, reiterated his Overweight rating on shares of Micron Technology (NASDAQ: MU) but cut his price target to $55 from $75 after the company lowered its 2019 industry bit demand growth expectations for DRAM (from ~20% to ~16%) and NAND (from ~35%-40% to ~35%).

The analyst stated "it’s important to note, the revised market bit demand estimates are AFTER various
customers/end-markets work past the current inventory glut. That is to say true bit consumption/demand growth likely remains near 20% for DRAM and >35% for NAND. We believe Micron’s bit supply target of 15% growth in DRAM for CY19 will mark an all-time low for the company, likely a bear-case scenario, and likely implies minimal risk to EPS estimates for the remainder of the year".

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 $31.25 yesterday.

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