Micron Stock Analysis, Valuation (NASDAQ:MU)
Take a look at Amigobulls Micron stock analysis video. Our MU analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Micron Technology, Inc. Stock Rating 4.7/5
Amigobulls MU stock analysis takes into account various financial ratios like relative valuation, Micron revenue, growth and return on equity based on latest quarter 2018 Q3 financial statements. We also check Micron dividend performance. Micron valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Based on a company's historical fundamentals we arrive at Micron stock rating which is indicative of the company's financial performance.
Should you buy MU stock?
- Micron sales grew by 40.1% year on year in 2018-05.
- Revenue growth has been tremendous with a compounded annual growth of 27.9 over the last 5 years.
- Micron had a healthy average operating margin of 46.71 over the last 4 quarters.
- Net margins came in at average 43.4% for Micron over the last twelve months.
- MU stock is trading at an earnings multiple of 4.6 which is better than the sector average of 25.4.
- MU stock is trading at a favorable price to sales multiple of 1.9 as against the Computer and Technology sector average multiple of 2.9.
- Micron has an attractive ROIC (Return on Invested Capital) of 47.7
- Micron has a good Return On Equity (ROE) of 52.5.
- Micron has a healthy FCF (Free Cash Flow) margin of 21.5.
Investors can make use of the Amigobulls Micron stock analysis to ascertain how MU stock fares in fundamental analysis investment criteria. The fundamentals of a company are vital to identify long-term investment opportunities.
Micron revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Micron stock.