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Technology Stocks : Semi Equipment Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Sam who wrote (76769)	8/20/2017 8:17:48 PM
From: Donald Wennerstrom	1 Recommendation Recommended By Sam Respond to of 95562

My general sense is that there is a big war going on between the bulls and bears over Micron. I cannot count the articles written one way or the other because while I tend to see articles on a daily basis, I miss many articles I am sure. However, some of the articles I see are from very large financial "conglomerates". Just to give an example, here is the latest I could find from CFRA(basically S&P). June 30, 2017 08:14 am ET ... CFRA KEEPS HOLD RECOMMENDATION ON SHARES OF MICRON TECHNOLOGY, INC. (MU 31.47*):We keep our 12-month target price at $35, on peer-discount P/E of 6.2X our FY 18 (Aug.) EPS view to reflect limited earnings visibility. We raise our FY 17 EPS estimate to $4.70 from $4.24 and FY 18 to $5.69 from $4.62. MU posts May-Q EPS of $1.62 vs. $0.08 loss, beating the $1.51 consensus. Sales rose 20% from Feb-Q, led by higher DRAM selling prices and greater NAND volume.We positively view margin expansion, aided by better product mix and lower cost per bit for both NAND and DRAM. We expect the industry landscape to stay healthy and are optimistic about solid state demand. S&P has had a "hold" rating for well over 5 years on the stock. They missed the entire run up for the last few years. Even though they are "optimistic about solid state demand**" they think there is " limited earnings visibility". On their standard table of performance they list Micron's PE at 13. Basically, as they state, 6.2X earnings is all they will go for their EPS PE view due to "risk" of failing future earnings.