Micron (MU) stock rose 272.9% over the year to November 2, 2026, versus 11.5% for the S&P 500, as demand for memory chips used in AI hardware drove fast sales growth. Fiscal Q4 2026 sales reached $54.2 billion, up from $11.3 billion a year earlier, and operating margin rose to 80.7% from 32.3%. Measured against earnings, the trailing P/E fell from 22.0 to 14.2 at the end of September 2026 and stood at 11.1 on November 2, versus 22.8 for the S&P 500, while the price-to-sales multiple rose from 5.0 to 9.0. The shares fell 22.4% over the month to November 2, and 5.8% on November 2 alone after a cautious forecast from Kioxia, having closed at a yearly high of $1,213.18 on June 25, 2026. Management expects margins to widen over the rest of fiscal 2027 and market conditions to stay tight through 2028, though these are forecasts, and the next report is expected in December 2026.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
Micronsemiconductorsearningsvaluation
Open a keyword to see other news on the same topic.
Related tickers and likely impact
NVDA
• NeutralNvidia
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 11/02/2026 | 202.06 |
| Change that session | -1.26% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Should You Sell Your Micron Stock Now?
Micron (MU) shares fell 19.6% between October 5 and November 3, 2026, while the S&P 500 dropped 2.6%, even after the company reported a record fiscal fourth quarter. Net income for the twelve months to September 3, 2026 reached $85.0 billion, about ten times the $8.54 billion of the prior twelve months, with a 74.6% operating margin. At the November 3 close, buyers paid 11.4 times those trailing earnings, against 22.8 for the S&P 500. Management said market conditions should stay tight through 2028 and margins should widen over the rest of fiscal 2027, though at a slower pace, but the profits depend on prices still rising, and fiscal Q1 2027 guidance assumes only single-digit bit growth. Gross margin reached 86.8% in fiscal Q4 2026 versus 44.7% a year earlier, and the next quarterly report is expected in December 2026.
- Here's What $6,000 Invested in Micron Could Be Worth in 2028
Micron's stock is up more than 200% this year as AI-driven memory demand surges, and the company has secured 16 strategic customer agreements running three to five years. Diluted EPS was over $74 in fiscal 2026, and S&P Global Market Intelligence consensus projects over $172 for fiscal 2027 and over $212 for fiscal 2029. If the current 5.65x forward earnings multiple is held, the stock would trade around $1,197 in 2028, about 23% upside, turning a $6,000 investment into $7,380. A 10x forward multiple would imply about $2,120 per share, in line with D.A. Davidson analyst Gil Luria's view that investors are early in understanding Micron's value, or roughly $12,940 for a $6,000 investment. The author questions how sustainable these earnings are given concerns over a new Chinese memory chip and expected heavy supply in 2029, and says owning some stock is fine while cautioning against a heavy position given its volatility.
- Why Micron Stock Looks Cheap After a Record Year
Micron, which makes memory chips for PCs and AI servers, posted a record fiscal 2026 with revenue of $133 billion and adjusted earnings of $75.52 per share, up from $8.29 a year earlier. Yet the stock closed on Oct. 28 about 13% below its earnings-day close, trading at a forward P/E of about 5.5 versus about 19 for the S&P 500. Micron has signed 26 long-term strategic customer agreements covering over 35% of expected revenue through 2030, backed by $32 billion in customer financial commitments. Adjusted free cash flow reached $62 billion for the full year, while capital spending of about $27 billion in fiscal 2026 and about $25 billion planned for the first half of fiscal 2027 will fund new supply. The article says DRAM prices and days of inventory are the two metrics to watch: if prices keep climbing and inventory days fall as management expects, the stock could keep surging next year; if inventory keeps rising while prices stall, that signals excess supply.
- Micron Is Up 225% This Year and Still Trades at 5 Times Earnings. Is It Too Late?
Micron is up 221.96% year to date and trades at about 5x forward earnings, while 24/7 Wall St.'s model carries a Buy rating with a $987.56 price target against an $877.55 reference price. Fiscal Q4 revenue reached $54.23B, beating the $50.97B estimate and up 379.27% year over year, and non-GAAP EPS of $33.42 topped the $31.35 estimate; gross margin widened to 87% from 45.7%. Management guided fiscal Q1 2027 revenue to $61.5B ±$1.5B and EPS to $38.15 ±$1.00. The bull case reaches $1,348.03 and the bear case $743.23, the latter citing memory's cyclicality and $30.71B of FY26 capex. Micron has committed more than 75% of fiscal 2027 shipments, yet the stock remains 27% below its all-time high.
- Micron’s Operational Execution Collided with Macro Tape Fatigue, So Now What?
Micron trades at $983.23, 21.6% below its 52-week high of $1,254.61, even after reporting fiscal Q4 revenue of $54.23 billion, up 379.3% year over year, and non-GAAP EPS of $33.42 versus a $31.35 consensus. The article rates the stock a Hold. Bulls point to a forward P/E of about 5 and fiscal Q1 guidance of $61.5 billion ± $1.5 billion in revenue and $38.15 ± $1.00 in non-GAAP EPS, with over 75% of fiscal 2027 shipments committed. Concerns include that gross margin of 87.0% may not last as price increases moderate, and that mobile and client bit shipments fell sequentially for a second straight quarter. Among tracked institutional filers, 10 trimmed positions versus 3 buyers last quarter, and the 49-analyst consensus target of $1,561.91 implies 58.9% upside.
- 3 Reasons Micron Stock Could Keep Climbing From Here
Micron shares are up 218% this year but have fallen 27% since hitting an all-time high in June, and the author views the recent dip as an opportunity for long-term investors. In fiscal Q4 2026, ended Sept. 3, revenue rose 379% year over year to $54.23 billion, GAAP gross margin reached 86.8% versus 44.7% a year earlier, and net income jumped 1077.8% to $37.7 billion. Guidance points to about $61.5 billion in revenue for fiscal Q1 2027 at the midpoint, up roughly 351%. The author notes some estimates see the memory chip shortage easing only around 2029, and considers the 5.05 forward P/E reasonable. Assuming EPS compounds at 12% a year over five years with the P/E unchanged, the cumulative return would be about 76%.
Related markets
Latest news
- The midterm election results are redrawing the map for AI data centers
U.S. data-center spending won't fall much, but individual projects may face delays, relocations and higher costs.
- Arm Stock Has Crashed 37%. Is It a Better Buy Than Qualcomm?
Arm shares fell 36.84% over the past month to $194.22, while Qualcomm traded at $167.07 and pays a quarterly dividend. The article says Qualcomm is far cheaper, at about 32 times earnings and a 7.30% free cash flow yield, versus about 239 times and 0.45% for Arm. Qualcomm yields about 2.17%, while Arm pays no dividend. Arm's fiscal Q1 2027 revenue rose 22% to $1.29 billion, whereas Qualcomm's fiscal Q3 revenue fell 4.0% to $9.95 billion as handset revenue dropped 20%, though automotive grew 61%. The article concludes Qualcomm fits a retiree's profile better, while Arm suits investors decades from retirement who can tolerate large declines.
- As Vistra and other energy stocks slide, some analysts warn of an ‘excessive knee-jerk’ reaction
Energy stocks were already under pressure, and newly elected officials may not slow the data-center boom as much as feared.
- Top VC: The Best AI Models Take “80% Plus” of Spend. And Alphabet’s Gemini Just Ranked No. 1
Alphabet's Gemini 4 Carbon ranks first on Artificial Analysis's Intelligence Index with a score of 59, but Anthropic and OpenAI still hold 86% of enterprise LLM API spend, up from 67%, and few customers can use Carbon yet. a16z's Martin Casado argues the best frontier models capture over 80% of market spending weighted by dollars, though he puts a model's lifespan at three to six months. Alphabet still earns from the labs that win through Google Cloud, whose revenue grew 103% last quarter from selling computing and TPUs to customers including Anthropic and, reportedly, Meta. Free cash flow is expected to be negative $18.0 billion this year as capital spending rises. Fourth-quarter results, due in early February, will be the first to cover a full quarter of Gemini 4.
- Musk Says Data Centers in Space “Looking Pretty Appealing Right Now” as SpaceX Sinks on Blue Wave
SpaceX (SPCX) shares fell 2% and Tesla (TSLA) dropped 3% after Democrats swept the midterms, including in Texas, where the newly elected governor campaigned on halting new data center construction. Dan Ives of Yorkville warned the blue wave could slow AI data center build-outs, while Elon Musk replied that data centers in space were “looking pretty appealing right now.” The article says Shaun Maguire’s bullish Sequoia model draws most of its 2028 revenue from ground-based data centers and assumes only a 20% political slowdown, an assumption now under pressure. Wall Street consensus for 2028 revenue is $336 billion, and the author argues orbital compute won’t fill the gap by 2028, making the 2028 estimates the ones to watch. SpaceX spent $19.6 billion on capex in the third quarter, with most of this year’s spending going to its data center segment.
- Bill Ackman: Netflix “an Incredibly Cheap Stock” After a 55% Drop. But Is He Right?
Netflix (NFLX) stock is down about 55% from its June 2025 high. Bill Ackman called Netflix “an incredibly cheap stock,” arguing the market is focused on engagement, as viewing hours fall because the content mix is changing. Average viewing time per member fell 26% over three years, much of it going to YouTube, but Netflix said churn improved year over year in the third quarter, both globally and in the U.S. The stock trades at 17x forward earnings, a little over half its five-year average of 32x, while analysts expect EPS to rise to $4.51 in 2028 from $2.53 in 2025. The main risk is that less viewing turns into cancellations, and Netflix’s 2027 guidance in January is the next test.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.