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Micron Stock Keeps Hitting New Record Highs

  • Micron Technology (MU) is trading at new all-time highs and has strong technical momentum.
  • MU has a 100% “Buy” opinion from Barchart.
  • The stock is up 125% in the past year and over 180% in the year to date.
  • Analyst sentiment is overwhelmingly bullish, with multiple “Strong Buy” ratings, although some concerns about valuation remain.

Today’s Featured Stock

Valued at $245 billion, Micron Technology (MU) manufactures and markets high-performance memory and storage technologies including Dynamic Random Access Memory, NAND flash memory, NOR Flash, 3D XPoint memory, and other technologies. Its solutions are used in leading-edge computing, consumer electronics, networking and mobile products. 

What I’m Watching

I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals; superior current momentum in both strength and direction; and a Trend Seeker “buy” signal. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. MU checks those boxes. Since the Trend Seeker signaled a new “Buy” on Aug. 12, the stock has gained 85.91%.

 

www.barchart.com

Barchart Technical Indicators for Micron Technology

Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.

Micro Technology hit an all-time high of $239.88 in intraday trading on Nov. 5.

  • MU has a Weighted Alpha of +201.
  • Micron Technology has a 100% “Buy” opinion from Barchart.
  • The stock gained 125.14% over the past year.
  • MU has its Trend Seeker “Buy” signal intact.
  • The stock recently traded at $237.50 with a 50-day moving average of $176.59.
  • Micron Technology has made 8 new highs and gained 26.44% in the last month.
  • Relative Strength Index (RSI) is at 68.81.
  • There’s a technical support level around $228.19.

Don’t Forget the Fundamentals

  • $245 billion market capitalization.
  • 30.80 trailing price-earnings ratio.
  • 0.19% dividend yield.
  • Revenue is projected to grow 45.53% this year and another 11.91% next year.
  • Earnings are estimated to increase 101.57% this year and an additional 12.47% next year.

Analyst and Investor Sentiment on Micron Technology

I don’t buy stocks because everyone else is buying, but I do realize that if major firms and investors are dumping stock, it’s hard to make money swimming against the tide.

It looks like Wall Street analysts like MU and so do individual investors.

  • The Wall Street analysts tracked by Barchart have issued 27 “Strong Buys,” 5 “Moderate Buys,” and 5 “Hold” opinions on the stock with price targets between $107 and $275 – a very wide range.
  • Value Line rates the stock “Highest” with a price target of $256.
  • CFRA’s MarketScope Advisor rates it a “Buy.”
  • Morningstar thinks the stock is 45% overvalued.
  • 4,749 investors following the stock on Motley Fool think the stock will beat the market while 701 think it won’t.
  • 314,360 investors monitor the stock on Seeking Alpha, which rates the stock a “Strong Buy.”

The Bottom Line on Micron Technology

Wall Street analysts and individual investors both seem to be bullish. A comment on Seeking Alpha sums it up: “MU’s exceptional growth, profitability, and strong momentum, combined with positive earnings revisions, underscore a Strong Buy rating, despite some valuation concerns. The stock is well-positioned to outperform its sector peers.”

Today’s Chart of the Day was written by Jim Van MeertenRead previous editions of the daily newsletter here.

Additional disclosure: The Barchart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.


On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

 

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