MICRON TECHNOLOGY INC (MTE.DE) Stock Fundamental Analysis
FRA:MTE - Deutsche Boerse Ag - US5951121038 - Common Stock - Currency: EUR
Taking everything into account, MTE scores 5 out of 10 in our fundamental rating. MTE was compared to 52 industry peers in the Semiconductors & Semiconductor Equipment industry. While MTE seems to be doing ok healthwise, there are quite some concerns on its profitability. MTE is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
In the past year MTE was profitable.
In the past year MTE had a positive cash flow from operations.
MTE had positive earnings in 4 of the past 5 years.
In the past 5 years MTE always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of MTE (6.40%) is comparable to the rest of the industry.
MTE has a worse Return On Equity (9.61%) than 61.54% of its industry peers.
The Return On Invested Capital of MTE (6.01%) is worse than 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.4% | ||
| ROE | 9.61% | ||
| ROIC | 6.01% |
ROA(3y)1.72%
ROA(5y)4.02%
ROE(3y)1.97%
ROE(5y)5.23%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 14.92%, MTE perfoms like the industry average, outperforming 48.08% of the companies in the same industry.
In the last couple of years the Profit Margin of MTE has declined.
With a Operating Margin value of 19.65%, MTE perfoms like the industry average, outperforming 55.77% of the companies in the same industry.
MTE's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 34.73%, MTE is doing worse than 78.85% of the companies in the same industry.
MTE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.65% | ||
| PM (TTM) | 14.92% | ||
| GM | 34.73% |
OM growth 3Y-44.62%
OM growth 5Y-33.31%
PM growth 3Y-47.29%
PM growth 5Y-35.13%
GM growth 3Y-16.06%
GM growth 5Y-13.34%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MTE is destroying value.
MTE has more shares outstanding than it did 1 year ago.
The number of shares outstanding for MTE has been increased compared to 5 years ago.
The debt/assets ratio for MTE has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.03 indicates that MTE is not in any danger for bankruptcy at the moment.
MTE has a Altman-Z score (4.03) which is comparable to the rest of the industry.
The Debt to FCF ratio of MTE is 23.69, which is on the high side as it means it would take MTE, 23.69 years of fcf income to pay off all of its debts.
MTE has a worse Debt to FCF ratio (23.69) than 65.38% of its industry peers.
MTE has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
MTE has a Debt to Equity ratio of 0.28. This is comparable to the rest of the industry: MTE outperforms 44.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 23.69 | ||
| Altman-Z | 4.03 |
ROIC/WACC0.67
WACC9.03%
2.3 Liquidity
A Current Ratio of 3.13 indicates that MTE has no problem at all paying its short term obligations.
With a decent Current ratio value of 3.13, MTE is doing good in the industry, outperforming 69.23% of the companies in the same industry.
A Quick Ratio of 1.99 indicates that MTE should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.99, MTE is in the better half of the industry, outperforming 71.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.13 | ||
| Quick Ratio | 1.99 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 269.97% over the past year.
Measured over the past years, MTE shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -27.38% on average per year.
MTE shows a strong growth in Revenue. In the last year, the Revenue has grown by 71.05%.
MTE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.42% yearly.
EPS 1Y (TTM)269.97%
EPS 3Y-40.6%
EPS 5Y-27.38%
EPS Q2Q%271.43%
Revenue 1Y (TTM)71.05%
Revenue growth 3Y-3.22%
Revenue growth 5Y1.42%
Sales Q2Q%38.27%
3.2 Future
The Earnings Per Share is expected to grow by 54.12% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 13.70% on average over the next years. This is quite good.
EPS Next Y464.18%
EPS Next 2Y198.8%
EPS Next 3Y108.71%
EPS Next 5Y54.12%
Revenue Next Year41.23%
Revenue Next 2Y33.41%
Revenue Next 3Y22.37%
Revenue Next 5Y13.7%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MTE is valuated correctly with a Price/Earnings ratio of 15.53.
Based on the Price/Earnings ratio, MTE is valued a bit cheaper than 73.08% of the companies in the same industry.
When comparing the Price/Earnings ratio of MTE to the average of the S&P500 Index (28.10), we can say MTE is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 7.05, the valuation of MTE can be described as very cheap.
MTE's Price/Forward Earnings ratio is rather cheap when compared to the industry. MTE is cheaper than 92.31% of the companies in the same industry.
MTE is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.53 | ||
| Fwd PE | 7.05 |
4.2 Price Multiples
73.08% of the companies in the same industry are more expensive than MTE, based on the Enterprise Value to EBITDA ratio.
65.38% of the companies in the same industry are cheaper than MTE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 147.48 | ||
| EV/EBITDA | 6.71 |
4.3 Compensation for Growth
MTE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as MTE's earnings are expected to grow with 108.71% in the coming years.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y198.8%
EPS Next 3Y108.71%
5. Dividend
5.1 Amount
With a yearly dividend of 0.59%, MTE is not a good candidate for dividend investing.
The stock price of MTE dropped by -21.50% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
MTE's Dividend Yield is comparable with the industry average which is at 1.48.
Compared to an average S&P500 Dividend Yield of 2.43, MTE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
5.2 History
The dividend of MTE is nicely growing with an annual growth rate of 72.66%!
Dividend Growth(5Y)72.66%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
11.09% of the earnings are spent on dividend by MTE. This is a low number and sustainable payout ratio.
The dividend of MTE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP11.09%
EPS Next 2Y198.8%
EPS Next 3Y108.71%
FRA:MTE (5/5/2025, 7:00:00 PM)
70.5
-0.4 (-0.56%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners83.05%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap78.79B
Analysts82.08
Price Target107.53 (52.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
Yearly Dividend0.41
Dividend Growth(5Y)72.66%
DP11.09%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.35%
Min EPS beat(2)0.31%
Max EPS beat(2)6.39%
EPS beat(4)4
Avg EPS beat(4)6.43%
Min EPS beat(4)0.31%
Max EPS beat(4)18.38%
EPS beat(8)8
Avg EPS beat(8)40.07%
EPS beat(12)11
Avg EPS beat(12)15.17%
EPS beat(16)14
Avg EPS beat(16)12.13%
Revenue beat(2)0
Avg Revenue beat(2)-1.93%
Min Revenue beat(2)-2.93%
Max Revenue beat(2)-0.93%
Revenue beat(4)0
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-2.93%
Max Revenue beat(4)-0.86%
Revenue beat(8)1
Avg Revenue beat(8)-0.27%
Revenue beat(12)1
Avg Revenue beat(12)-1.26%
Revenue beat(16)2
Avg Revenue beat(16)-1.26%
PT rev (1m)-8.71%
PT rev (3m)-14.38%
EPS NQ rev (1m)0.51%
EPS NQ rev (3m)1.46%
EPS NY rev (1m)-0.13%
EPS NY rev (3m)0.73%
Revenue NQ rev (1m)0.26%
Revenue NQ rev (3m)2.91%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)1.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.53 | ||
| Fwd PE | 7.05 | ||
| P/S | 2.85 | ||
| P/FCF | 147.48 | ||
| P/OCF | 6.84 | ||
| P/B | 1.84 | ||
| P/tB | 1.9 | ||
| EV/EBITDA | 6.71 |
EPS(TTM)4.54
EY6.44%
EPS(NY)10
Fwd EY14.18%
FCF(TTM)0.48
FCFY0.68%
OCF(TTM)10.31
OCFY14.63%
SpS24.71
BVpS38.36
TBVpS37.12
PEG (NY)0.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.4% | ||
| ROE | 9.61% | ||
| ROCE | 9.44% | ||
| ROIC | 6.01% | ||
| ROICexc | 6.88% | ||
| ROICexgc | 7.07% | ||
| OM | 19.65% | ||
| PM (TTM) | 14.92% | ||
| GM | 34.73% | ||
| FCFM | 1.93% |
ROA(3y)1.72%
ROA(5y)4.02%
ROE(3y)1.97%
ROE(5y)5.23%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-49.51%
ROICexcg growth 5Y-37.89%
ROICexc growth 3Y-49.41%
ROICexc growth 5Y-37.69%
OM growth 3Y-44.62%
OM growth 5Y-33.31%
PM growth 3Y-47.29%
PM growth 5Y-35.13%
GM growth 3Y-16.06%
GM growth 5Y-13.34%
F-Score7
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 23.69 | ||
| Debt/EBITDA | 0.98 | ||
| Cap/Depr | 154.87% | ||
| Cap/Sales | 39.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 92.03% | ||
| Profit Quality | 12.97% | ||
| Current Ratio | 3.13 | ||
| Quick Ratio | 1.99 | ||
| Altman-Z | 4.03 |
F-Score7
WACC9.03%
ROIC/WACC0.67
Cap/Depr(3y)125.44%
Cap/Depr(5y)136.66%
Cap/Sales(3y)40.67%
Cap/Sales(5y)39.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)269.97%
EPS 3Y-40.6%
EPS 5Y-27.38%
EPS Q2Q%271.43%
EPS Next Y464.18%
EPS Next 2Y198.8%
EPS Next 3Y108.71%
EPS Next 5Y54.12%
Revenue 1Y (TTM)71.05%
Revenue growth 3Y-3.22%
Revenue growth 5Y1.42%
Sales Q2Q%38.27%
Revenue Next Year41.23%
Revenue Next 2Y33.41%
Revenue Next 3Y22.37%
Revenue Next 5Y13.7%
EBIT growth 1Y247.6%
EBIT growth 3Y-46.41%
EBIT growth 5Y-32.36%
EBIT Next Year930.09%
EBIT Next 3Y144.24%
EBIT Next 5Y73.34%
FCF growth 1Y131.17%
FCF growth 3Y-63.25%
FCF growth 5Y-48.71%
OCF growth 1Y46.87%
OCF growth 3Y-11.96%
OCF growth 5Y-8.4%