Micron - some things to note before earnings are out on Friday

By Kin Talk on Sunday, September 22, 2013 with 0 comments

From a value standpoint, Micron has immense value and interestingly a lot of investors are unable to see it for the simple reason that Micron's board has not been very forthcoming with its plans.

Micron is being viewed as a shareholder unfriendly company. Case in point: the semiconductor firm is yet to publish a date for its fiscal year-end earnings announcement (at least according to Google Finance).
Micron has been super secret about a lot of stuff before with the Elipida transaction close date being one such case. It seems like the company won't even release its call transcript for analysts and shareholders to peruse.
The thing is Micron needs it shareholders for much needed capital to fund 3D NAND and PCM shrinks that are in a lot of the smartphones.

Friday MU Analyst Upgrades

The Los Angeles based investment firm Wedbush Securities hiked the price target from $16 to $23 for Micron stock on Friday morning.

Short Interest

Short interest has surged 25.4% during the past two reporting periods and it comprises 10.4% of the equity's float. At the stock's average pace of trading, it would take more than four days to cover the shorted shares. So, there is a good chance that the bullish momentum will continue with the short-covering activity being a major catalyst.
Important Development

Bullish price action has been triggered by the decision by U.S. lawmakers to stop the approaching shutdown of a Texas helium reservoir.

Note on the Stock Market Temperature

This is still seen as an overinflated equities markets that we are in as investors are looking to rebuy only once they feel that the market has bottomed out. Therefore, a lot of profit taking will take place. 

Category: Stocks



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