SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Micron Only Forum
MU 344.97+5.5%Jan 9 9:30 AM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: DavidG who wrote (26799)1/19/1998 1:10:00 AM
From: Earlie   of 53903
 
David:
My circle of Vaderians has been "nibbling" at MU short positions for a bit. With the year end rally underway, a "scaling in" approach as the rally intensifies and then wanes, makes sense. Once the rally exhibits some exhaustion, I would expect increased activity.
The numbers as well as the current dreadful world-wide excess supply condition provide the main driving force, although the very long term chart is supportive, albeit of little interest or concern.
The company has to make substantial profit to sustain the current share price for any consequential period of time, and I don't expect profits. I think it will be very difficult for any of the memory producers to make profit for quite a while. I also see pressure on general market multiples, and MU's in particular as the "expected (non-existent) growth" factor is discounted out. A PE of greater than 12-14 makes little sense in a tough environment, and will likely move much lower than this if/when the fan gets clogged.
I'd love to review any numbers that anyone might care to forecast and post that would support a share price above $10. Such a forecast would inevitably require a significant rise in memory pricing to have any validity. A consideration of the various factors that would allow this to happen is what makes the MU market so fascinating.

Best, Earlie
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News