Why Micron Stock Is Moving Higher Today

Micron Technology Inc MU shares are rising Thursday after the company reported better-than-expected results. Several analysts are out with updates following the print, including an upgrade from Piper Sandler.

Q3 Earnings: Micron reported third-quarter revenue of $3.75 billion, which beat the consensus estimate of $3.65 billion, according to Benzinga Pro. The company reported a quarterly loss of $1.43 per share, which beat analyst estimates for a loss of $1.58 per share. 

"Micron delivered fiscal third quarter revenue, gross margin, and EPS all above the midpoint of the guidance range," said Sanjay Mehrotra, president and CEO of Micron. 

"We believe that the memory industry has passed its trough in revenue, and we expect margins to improve as industry supply-demand balance is gradually restored." 

Outlook: Micron expects fourth-quarter revenue to be between $3.7 billion and $4.1 billion versus estimates of $3.89 billion. The company anticipates a fourth-quarter adjusted loss of $1.12 to $1.26 per share versus estimates for a loss of $1.06 per share.

Micron noted that the Cyberspace Administration of China's decision to ban Chinese companies from buying Micron products is a significant headwind slowing the company's recovery and impacting its forecast.

Analyst Changes: 

• Piper Sandler analyst Harsh Kumar upgraded Micron from Underweight to Neutral and raised the price target from $45 to $70.
• Raymond James analyst Srini Pajjuri maintained Micron with an Outperform and raised the price target from $70 to $76.
• Rosenblatt analyst Hans Mosesmann reiterated Micron with a Buy and maintained a $100 price target.
• Needham analyst Rajvindra Gill maintained Micron with a Buy and raised the price target from $71 to $80.
• Morgan Stanley analyst Joseph Moore reiterated Micron with an Underweight and maintained a $46 price target.

See Also: US Stocks Set For Strong Thursday Open As Traders Digest Earnings, Bank Stress Results: Why This Analyst Calls For 'Some Caution'

MU Price Action: Micron shares were up 2.45% at $68.70 at the time of writing, according to Benzinga Pro.

Photo: courtesy of Micron.