Dark pool activity was detected in MU stock on January 21, 2020.
We are unable to determine if the dark pool trades were buy or sell orders; however, the recent analyst upgrades would suggest the dark pool trades were mostly buy orders.
Longbow analyst Nikolay Todorov raised his price target for Micron to $80 from $70 and made no change to his Buy rating, saying he sees a long runway for the stock to benefit from earnings and multiple expansion in this cyclical recovery. If pricing turns out stronger than his forecast, Todorov says he sees as much as 50% upside from here. In his base case assumption, Todorov says his 2020 forecast of conservative cost declines and 16% blended DRAM ASP decline and a 5% NAND ASP increase results in $6.70 of mid-cyle EPS for Micron which, at 10x the historical mid-cycle memory multiple, implies 20% upside from current levels.
On January 16, 2020, Mizuho analyst Vijay Rakesh raised his price target for Micron Technology to $65 from $61 and keeps a Buy rating on the shares. Micron should see improving DRAM pricing trends through 2020, Rakesh tells investors in a research note. The analyst believes 2020 sets up well for the company, with improving sales and gross margins as DRAM and NAND supply/demand moves into balance, with potential undersupply into the second half of the year.
On January 14, 2020, Cleveland Research analyst Chandler Converse upgraded Micron to Buy from Neutral as he believes both pricing and demand appear set-up to be better in the near-term and his checks support a cyclical turn through 2020. He sees fair value for Micron shares of $67.
On January 7, 2020, Cowen analyst Karl Ackerman upgraded Micron Technology (MU) to Outperform from Market Perform with a price target of $70, up from $50. The analyst’s work indicates DRAM fundamentals may improve earlier than expected. These dynamics should result in not only an expansion of DRAM demand but also an expansion of DRAM average selling prices, contends Ackerman. He finds this “most bullish” for Micron given his view DRAM represents over 100% of the company’s total operating profit. This supports Micron’s improved cost position relative to peers, Ackerman tells investors in a research note. The analyst says that while Mircon’s NAND cost headwind to 128L is known, his analysis shows overall NAND costs are better than feared and that NAND should become profitable again as new smartphone launches tighten supply.
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