Micron Technology (MU) vs. Its Rivals Financial Survey

Micron Technology (NASDAQ:MU) is one of 221 public companies in the “Semiconductors & Semiconductor Equipment” industry, but how does it weigh in compared to its competitors? We will compare Micron Technology to similar companies based on the strength of its valuation, risk, analyst recommendations, profitability, dividends, earnings and institutional ownership.

Volatility and Risk

Micron Technology has a beta of 2.36, indicating that its stock price is 136% more volatile than the S&P 500. Comparatively, Micron Technology’s competitors have a beta of 2.80, indicating that their average stock price is 180% more volatile than the S&P 500.

Profitability

This table compares Micron Technology and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Micron Technology	63.80%	92.62%	66.29%
Micron Technology Competitors	-1,278.97%	-126.38%	-4.00%

Earnings & Valuation

This table compares Micron Technology and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Micron Technology	$133.19 billion	$84.97 billion	9.88
Micron Technology Competitors	$7.38 billion	$2.49 billion	8.56

Micron Technology has higher revenue and earnings than its competitors. Micron Technology is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Institutional & Insider Ownership

80.8% of Micron Technology shares are held by institutional investors. Comparatively, 54.8% of shares of all “Semiconductors & Semiconductor Equipment” companies are held by institutional investors. 0.2% of Micron Technology shares are held by insiders. Comparatively, 11.5% of shares of all “Semiconductors & Semiconductor Equipment” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Dividends

Micron Technology pays an annual dividend of $0.60 per share and has a dividend yield of 0.1%. Micron Technology pays out 0.8% of its earnings in the form of a dividend. As a group, “Semiconductors & Semiconductor Equipment” companies pay a dividend yield of 0.9% and pay out 28.8% of their earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Micron Technology and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Micron Technology	0	4	41	1	2.93
Micron Technology Competitors	3509	12368	25805	1000	2.57

Micron Technology presently has a consensus price target of $1,407.88, suggesting a potential upside of 92.03%. As a group, “Semiconductors & Semiconductor Equipment” companies have a potential upside of 40.02%. Given Micron Technology’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Micron Technology is more favorable than its competitors.

Summary

Micron Technology beats its competitors on 11 of the 15 factors compared.

Micron Technology Company Profile

Micron Technology, Inc. designs, develops, manufactures, and sells memory and storage products worldwide. The company operates through four segments: Compute and Networking Business Unit, Mobile Business Unit, Embedded Business Unit, and Storage Business Unit. It provides memory and storage technologies comprising dynamic random access memory semiconductor devices with low latency that provide high-speed data retrieval; non-volatile and re-writeable semiconductor storage devices; and non-volatile re-writable semiconductor memory devices that provide fast read speeds under the Micron and Crucial brands, as well as through private labels. The company offers memory products for the cloud server, enterprise, client, graphics, networking, industrial, and automotive markets, as well as for smartphone and other mobile-device markets; SSDs and component-level solutions for the enterprise and cloud, client, and consumer storage markets; discrete storage products in component and wafers; and memory and storage products for the automotive, industrial, and consumer markets. It markets its products through its direct sales force, independent sales representatives, distributors, and retailers; and web-based customer direct sales channel, as well as through channel and distribution partners. Micron Technology, Inc. was founded in 1978 and is headquartered in Boise, Idaho.