MICRON TECHNOLOGY INC (MU) Stock Fundamental Analysis
NASDAQ:MU - US5951121038 - Common Stock
141.03 USD
+5.79 (+4.28%)
Taking everything into account, MU scores 6 out of 10 in our fundamental rating. MU was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. MU has an average financial health and profitability rating. MU is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make MU a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year MU was profitable.
In the past year MU had a positive cash flow from operations.
MU had positive earnings in 4 of the past 5 years.
MU had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of MU (7.94%) is better than 78.57% of its industry peers.
MU has a Return On Equity of 12.27%. This is in the better half of the industry: MU outperforms 78.57% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.18%, MU is in the better half of the industry, outperforming 72.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 12.27% | ||
| ROIC | 7.18% |
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
MU has a Profit Margin of 18.41%. This is amongst the best in the industry. MU outperforms 82.14% of its industry peers.
MU's Profit Margin has declined in the last couple of years.
MU's Operating Margin of 22.77% is amongst the best of the industry. MU outperforms 83.04% of its industry peers.
In the last couple of years the Operating Margin of MU has declined.
With a Gross Margin value of 37.13%, MU is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
MU's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.77% | ||
| PM (TTM) | 18.41% | ||
| GM | 37.13% |
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), MU is destroying value.
MU has more shares outstanding than it did 1 year ago.
MU has more shares outstanding than it did 5 years ago.
The debt/assets ratio for MU has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.13 indicates that MU is not in any danger for bankruptcy at the moment.
MU's Altman-Z score of 5.13 is fine compared to the rest of the industry. MU outperforms 62.50% of its industry peers.
The Debt to FCF ratio of MU is 8.26, which is on the high side as it means it would take MU, 8.26 years of fcf income to pay off all of its debts.
MU has a Debt to FCF ratio (8.26) which is in line with its industry peers.
MU has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
MU has a Debt to Equity ratio of 0.30. This is in the lower half of the industry: MU underperforms 61.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 8.26 | ||
| Altman-Z | 5.13 |
ROIC/WACC0.65
WACC11.03%
2.3 Liquidity
A Current Ratio of 2.75 indicates that MU has no problem at all paying its short term obligations.
With a Current ratio value of 2.75, MU perfoms like the industry average, outperforming 49.11% of the companies in the same industry.
MU has a Quick Ratio of 1.89. This is a normal value and indicates that MU is financially healthy and should not expect problems in meeting its short term obligations.
MU has a Quick ratio (1.89) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.75 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
MU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 757.14%, which is quite impressive.
The earnings per share for MU have been decreasing by -27.38% on average. This is quite bad
MU shows a strong growth in Revenue. In the last year, the Revenue has grown by 58.22%.
MU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.42% yearly.
EPS 1Y (TTM)757.14%
EPS 3Y-40.6%
EPS 5Y-27.38%
EPS Q2Q%208.06%
Revenue 1Y (TTM)58.22%
Revenue growth 3Y-3.22%
Revenue growth 5Y1.42%
Sales Q2Q%36.56%
3.2 Future
The Earnings Per Share is expected to grow by 54.74% on average over the next years. This is a very strong growth
MU is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.00% yearly.
EPS Next Y550.56%
EPS Next 2Y222.69%
EPS Next 3Y122.67%
EPS Next 5Y54.74%
Revenue Next Year48%
Revenue Next 2Y39.52%
Revenue Next 3Y27.54%
Revenue Next 5Y15%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
MU is valuated rather expensively with a Price/Earnings ratio of 21.90.
78.57% of the companies in the same industry are more expensive than MU, based on the Price/Earnings ratio.
MU's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.07.
With a Price/Forward Earnings ratio of 10.66, the valuation of MU can be described as very reasonable.
MU's Price/Forward Earnings ratio is rather cheap when compared to the industry. MU is cheaper than 97.32% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MU to the average of the S&P500 Index (22.59), we can say MU is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.9 | ||
| Fwd PE | 10.66 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MU is valued cheaply inside the industry as 91.96% of the companies are valued more expensively.
MU's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 83.91 | ||
| EV/EBITDA | 9.78 |
4.3 Compensation for Growth
The 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 MU's earnings are expected to grow with 122.67% in the coming years.
PEG (NY)0.04
PEG (5Y)N/A
EPS Next 2Y222.69%
EPS Next 3Y122.67%
5. Dividend
5.1 Amount
MU has a yearly dividend return of 0.37%, which is pretty low.
MU's Dividend Yield is a higher than the industry average which is at 2.35.
Compared to an average S&P500 Dividend Yield of 2.46, MU's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.37% |
5.2 History
On average, the dividend of MU grows each year by 72.66%, which is quite nice.
MU has paid a dividend for at least 10 years, which is a reliable track record.
MU has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)72.66%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
8.37% of the earnings are spent on dividend by MU. This is a low number and sustainable payout ratio.
MU's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP8.37%
EPS Next 2Y222.69%
EPS Next 3Y122.67%
NASDAQ:MU (9/10/2025, 9:58:09 AM)
141.03
+5.79 (+4.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners83.01%
Inst Owner Change-0.16%
Ins Owners0.19%
Ins Owner Change-6.01%
Market Cap157.83B
Analysts80.77
Price Target148.03 (4.96%)
Short Float %2.85%
Short Ratio1.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.37% |
Yearly Dividend0.46
Dividend Growth(5Y)72.66%
DP8.37%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.11%
Min EPS beat(2)6.39%
Max EPS beat(2)15.83%
EPS beat(4)4
Avg EPS beat(4)5.8%
Min EPS beat(4)0.31%
Max EPS beat(4)15.83%
EPS beat(8)8
Avg EPS beat(8)40.5%
EPS beat(12)11
Avg EPS beat(12)16.21%
EPS beat(16)14
Avg EPS beat(16)12.73%
Revenue beat(2)1
Avg Revenue beat(2)0.42%
Min Revenue beat(2)-0.93%
Max Revenue beat(2)1.77%
Revenue beat(4)1
Avg Revenue beat(4)-0.89%
Min Revenue beat(4)-2.93%
Max Revenue beat(4)1.77%
Revenue beat(8)2
Avg Revenue beat(8)-0.03%
Revenue beat(12)2
Avg Revenue beat(12)-0.88%
Revenue beat(16)3
Avg Revenue beat(16)-1.12%
PT rev (1m)0.89%
PT rev (3m)20.13%
EPS NQ rev (1m)13.58%
EPS NQ rev (3m)47.83%
EPS NY rev (1m)3.43%
EPS NY rev (3m)14.81%
Revenue NQ rev (1m)4.36%
Revenue NQ rev (3m)14.93%
Revenue NY rev (1m)0.89%
Revenue NY rev (3m)4.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.9 | ||
| Fwd PE | 10.66 | ||
| P/S | 4.67 | ||
| P/FCF | 83.91 | ||
| P/OCF | 10.38 | ||
| P/B | 3.11 | ||
| P/tB | 3.21 | ||
| EV/EBITDA | 9.78 |
EPS(TTM)6.44
EY4.57%
EPS(NY)13.22
Fwd EY9.38%
FCF(TTM)1.68
FCFY1.19%
OCF(TTM)13.58
OCFY9.63%
SpS30.21
BVpS45.35
TBVpS43.94
PEG (NY)0.04
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 12.27% | ||
| ROCE | 11.28% | ||
| ROIC | 7.18% | ||
| ROICexc | 8.53% | ||
| ROICexgc | 8.77% | ||
| OM | 22.77% | ||
| PM (TTM) | 18.41% | ||
| GM | 37.13% | ||
| FCFM | 5.56% |
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 | 0.3 | ||
| Debt/FCF | 8.26 | ||
| Debt/EBITDA | 0.94 | ||
| Cap/Depr | 162.65% | ||
| Cap/Sales | 39.39% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 95.66% | ||
| Profit Quality | 30.22% | ||
| Current Ratio | 2.75 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | 5.13 |
F-Score7
WACC11.03%
ROIC/WACC0.65
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)757.14%
EPS 3Y-40.6%
EPS 5Y-27.38%
EPS Q2Q%208.06%
EPS Next Y550.56%
EPS Next 2Y222.69%
EPS Next 3Y122.67%
EPS Next 5Y54.74%
Revenue 1Y (TTM)58.22%
Revenue growth 3Y-3.22%
Revenue growth 5Y1.42%
Sales Q2Q%36.56%
Revenue Next Year48%
Revenue Next 2Y39.52%
Revenue Next 3Y27.54%
Revenue Next 5Y15%
EBIT growth 1Y518.48%
EBIT growth 3Y-46.41%
EBIT growth 5Y-32.36%
EBIT Next Year973.3%
EBIT Next 3Y153.51%
EBIT Next 5Y75.7%
FCF growth 1Y139.68%
FCF growth 3Y-63.25%
FCF growth 5Y-48.71%
OCF growth 1Y198.8%
OCF growth 3Y-11.96%
OCF growth 5Y-8.4%