Micron Technology (NASDAQ:MU) Stock Price Down 10.8% - Here's Why

Shares of Micron Technology, Inc. (NASDAQ:MU) experienced a significant drop of 10.8% during trading on Monday. The stock hit a low of $92.51 before settling at $92.06. In total, around 17,527,897 shares were traded, which is a 29% decrease compared to the average daily volume of 24,559,479 shares. The previous closing price stood at $103.19.

Analyst Upgrades and Downgrades

Several brokerages have revised their positions on Micron Technology. Needham & Company LLC reduced their target price from $140.00 to $120.00 while maintaining a "buy" rating. The Goldman Sachs Group also adjusted their price objective, bringing it down from $145.00 to $128.00 with a "buy" rating. Likewise, Wells Fargo & Company lowered their target from $175.00 to $140.00, placing an "overweight" rating on the stock. UBS Group cut their forecast from $135.00 to $125.00, retaining a "buy" rating. Finally, JPMorgan Chase & Co. adjusted their price target from $180.00 to $145.00, assigning an "overweight" rating as well. Currently, one analyst has rated the stock as a sell, three have issued hold ratings, and twenty-three analysts have provided buy ratings. According to data from MarketBeat.com, Micron Technology holds an average rating of "Moderate Buy" with a consensus target price of $134.96.

Micron Technology Stock Performance

The 50-day moving average for Micron Technology is currently at $98.04, while the 200-day moving average is at $100.48. The company enjoys a market capitalization of approximately $99.21 billion, with a price-to-earnings (PE) ratio of 25.66 and a beta of 1.18. Its debt-to-equity ratio stands at 0.28, while current and quick ratios are 2.72 and 1.75, respectively.

Micron Technology recently announced its quarterly earnings, reporting earnings per share (EPS) of $1.79 for the last quarter, which exceeded analysts' estimates of $1.60 by $0.19. Revenue for the quarter was reported at $8.71 billion, in line with analyst expectations. On a year-over-year basis, this marks an 84.3% increase in revenue, while the net margin was reported at 13.34% and return on equity at 8.32%. Analysts project that Micron Technology will achieve an EPS of 6.29 for the current year.

Micron Technology Dividend Announcement

Recently, Micron Technology declared a quarterly dividend, which was paid on January 15. Shareholders who were on record by December 30 received $0.115 per share. This results in an annual dividend of $0.46, representing a yield of 0.52%. The current dividend payout ratio for Micron Technology is 13.26%.

Insider Transactions at Micron Technology

In company news, EVP April S. Arnzen recently sold 4,890 shares of Micron Technology on December 20 at an average price of $85.21, totaling approximately $416,676.90. This sale reduced her stock ownership by 2.63%, bringing her total holding down to 181,223 shares valued at over $15.4 million. The transaction details were filed with the SEC.

Institutional Investors Weigh In On Micron Technology

Institutional investors and hedge funds have recently adjusted their stakes in Micron Technology. Naples Global Advisors LLC expanded its holdings by 10.2% in the fourth quarter, now holding 38,311 shares worth around $3.2 million. Channing Global Advisors LLC increased their position by 42.9%, ending up with 45,708 shares valued at almost $3.85 million. Harvey Capital Management Inc. purchased a new stake worth approximately $2.05 million. Allspring Global Investments Holdings LLC lifted their investment by 8.8%, acquiring 58,690 additional shares. Lastly, Gladstone Institutional Advisory LLC boosted its holdings by 25.0%, owning 8,013 shares valued at around $674,000. Hedge funds and institutional investors collectively control about 80.84% of Micron Technology's stock.

About Micron Technology

Micron Technology, Inc. is a global leader in the design, manufacture, and sale of memory and storage solutions. The company operates through various segments, including Compute and Networking, Mobile, Embedded, and Storage. Micron provides cutting-edge memory technologies such as dynamic random-access memory and non-volatile storage devices, marketed under the Micron and Crucial brands, among others.

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