Micron Technology (MU)
Information Technology · $813B market cap · SEC CIK 0000723125
ahead of 99% of the S&P 500 · #1 of 73 in Information Technology
Next reports on Dec 15, 2026, after the close, with analysts expecting $39.37 in earnings per share.
52-week range $192.59 to $1,255. 42% below its 52-week high and 277% above its low.
The case for MU
- Cheap for its growth: 9.6× earnings, where 25%+ a year of growth would justify about 46×.
- Generated $59.0B of free cash flow in FY2026, 44% of revenue.
- Earns 92% on shareholder equity.
- 64% of revenue drops through to net profit.
- Holds more cash ($38.4B) than long-term debt ($2.8B).
- Free cash flow of 7.3% of its market value a year: a lot of cash for the price.
The case against
- Swings harder than the market (beta 2.44).
- Weakest against its peers: price/sales of 6.1× is higher than 54% of Information Technology companies.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Information Technology companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings and cash, against the growth you get | 94 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 95 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 87 |
| Momentumhow the price has behaved lately | 55 |
| Stabilityhow violently it moves, what it owes and what it pays you | 39 |
- Each factor except momentum is half fixed thresholds, half rank among the 73 Information Technology companies.
The financials
Revenue growth
Is the business growing? Yes
| Last 12 months | +256.3% |
|---|---|
| Over 5 years | +36.9% a year |
| FY2026 revenue | $133B (+256%) |
Free cash flow
Is it generating real cash? Yes, plenty
| FY2026 free cash flow | $59.0B |
|---|---|
| Of revenue | 44% |
| Of profit | 69% |
Profit margins
Is profitability improving? Yes, improving
| Gross margin | 81% |
|---|---|
| Operating margin | 75% |
| Net margin, FY25 → FY26 → now | 22.8% → 63.8% → 63.8% |
Debt vs. cash
Is the balance sheet healthy? Yes, more cash than debt
| Cash | $38.4B |
|---|---|
| Long-term debt | $2.8B |
| Net cash | $35.6B |
| Years to repay | 0.0 yrs |
Valuation
Is the stock price reasonable? Yes, it looks cheap
| P/E | 9.6× |
|---|---|
| Fair P/E for its growth | 46× |
| P/FCF | 13.8× |
| Forward P/E | 4.9× |
| EV / EBITDA | 7.2× |
At 9.6× earnings it trades well below the 46× that 25%+ a year of growth would justify. At 13.8× free cash flow it trades well below that same mark.
The financials, five years deep
Pulled from Micron Technology's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.
| FY2026 | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue growth | |||||
| Revenue | $133B | $37.4B | $25.1B | $15.5B | $30.8B |
| Change on the year | +256% | +49% | +62% | −49% | — |
| Free cash flow | |||||
| Free cash flow | $59.0B | $1.7B | $121M | −$6.1B | $3.1B |
| Of revenue | 44% | 4% | 0% | −39% | 10% |
| Profit margins | |||||
| Gross margin | 80.7% | 39.8% | 22.4% | −9.1% | 45.2% |
| Operating margin | 74.6% | 26.1% | 5.2% | −37.0% | 31.5% |
| Net margin | 63.8% | 22.8% | 3.1% | −37.5% | 28.2% |
| Debt vs. cash | |||||
| Cash | $38.4B | $9.6B | $7.0B | $8.6B | $8.3B |
| Long-term debt | $2.8B | $11.5B | $11.3B | $12.0B | $6.0B |
| Net cash (debt) | $35.6B | −$1.9B | −$4.3B | −$3.5B | $2.2B |
What Micron Technology says it does
Overview We are a global leader in semiconductor memory and storage, powering AI and compute-intensive applications from cloud to edge. With a relentless focus on our customers, technology and product leadership, and manufacturing and operational excellence, our comprehensive portfolio of high-performance DRAM, NAND, and NOR solutions deliver the speed, efficiency, and scale today’s workloads demand, accelerating intelligence to enrich life for all. We manufacture our products at wholly-owned facilities and also utilize subcontractors for certain manufacturing processes. Our global network of manufacturing centers of excellence not only allows us to benefit from scale while streamlining processes and operations, but it also brings together some of the world’s brightest talent to work on the most advanced memory technology. Centers of excellence bring expertise together in one location, providing an efficient support structure for…
Risk factors MU lists in its 10-K
- Volatility in average selling prices for our semiconductor memory and storage products may adversely affect our business
- Our gross margins may be adversely affected by a range of factors
- We face geopolitical and other risks associated with our international operations that could materially adversely affect our business, results of operations, or financial condition
- The semiconductor memory and storage markets are highly competitive
- Our future success depends on our ability to develop, produce, and supply new and competitive memory and storage technologies and products in a dynamic market environment
- We may not be able to achieve expected returns from capacity expansions
- Downturns or ongoing adverse conditions in regional or worldwide economies may harm our business
- If our manufacturing process is disrupted by operational issues, natural disasters, or other events, our business, results of operations, or financial condition could be materially adversely affected
- A significant portion of our revenue is concentrated with certain customers and end markets
- Increases in sales of system solutions may increase our dependency upon specific customers and our costs to develop, qualify, and manufacture our system solutions
- Products that fail to meet specifications, are defective, or are otherwise incompatible with end uses could impose significant costs on us
- We may be adversely impacted by any of the multiple uncertainties and outcomes associated with the use and evolution of AI
- We must attract, retain, and motivate highly skilled employees
- Evolving sustainability and governance expectations or standards or failure to achieve our related goals could adversely affect our business, results of operations, financial condition, or stock price
- Acquisitions and/or strategic transactions, including strategic investments, involve numerous risks
- We may incur restructure charges in future periods and may not realize expected savings or other benefits from restructure plans
- We may be unable to protect our intellectual property or retain key employees who are knowledgeable about and develop our intellectual property
- Legal, regulatory, and administrative investigations, inquiries, proceedings, and claims could have a material adverse effect on our business, results of operations, or financial condition
- Tax-related matters could have a material adverse effect on our business, results of operations, or financial condition
- We may be unable to generate sufficient cash flows or obtain access to external financing necessary to fund our operations, make scheduled debt payments, and make adequate capital investments
- Debt obligations could adversely affect our financial condition
- Changes in foreign currency exchange rates could materially adversely affect our business, results of operations, or financial condition
- We are subject to counterparty default risks
- The trading price of our common stock has been and may continue to be volatile
- There can be no assurance that we will continue to declare cash dividends in any particular amounts or at all