TECH - Micron Tech Poised for Strong Earnings Amid Surge in Chip Pricing: Analyst | Benzinga
Wedbush analyst Matt Bryson maintained Micron Technology Inc (NASDAQ:MU) with an Outperform and raised the price target from $95 to $103.
Micron looks to report its quarterly earnings on March 20, with expectations set high due to the strong movement in DRAM and NAND prices.
The analyst said the company will likely exceed its initial guidance, bolstered by higher retail, spot, and forward contract prices than previously forecasted.
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This optimism is reflected in adjusted estimates for the February quarter, where DRAM and NAND pricing will likely see a significant rise, with DRAM contract Average Selling Prices (ASPs) predicted to increase by nearly 20% in the first quarter and NAND contracts performing even more vital, he said.
The improved pricing environment suggests Micron’s financial results could reach the higher end of its guidance, possibly even surpassing it. With contract pricing expected to rise by double digits again for both NAND and DRAM in the May quarter, projections for this period have also been adjusted upwards, Bryson stated.
Although there’s a ...