How Micron Pulled Ahead in Q3
Micron Technology, Inc. (NASDAQ: MU) released its fiscal third quarter financial results after markets closed Tuesday. The company said that it had $1.05 in earnings per share (EPS) and $4.79 billion in revenue, compared with consensus estimates that called for $0.83 in EPS and $4.77 billion in revenue. The same period from last year had $3.15 in EPS and $7.8 billion in revenue.
Gross margin for the quarter was 38.2%, compared with approximately 60.6% in the same period last year. The fiscal second quarter had a gross margin of 49.1%.
On the books, cash and short-term investments totaled $6.69 billion at the end of the quarter, versus $6.80 billion at the end of the previous fiscal year.
Micron did not offer any guidance in the report. However, consensus estimates for the fiscal fourth quarter are calling for $0.78 in EPS and $4.9 billion in revenue.
The firm repurchased an aggregate of 67 million shares of its common stock for $2.66 billion during the first nine months of 2019 in connection with its $10 billion share repurchase authorization.
Sanjay Mehrotra, Micron Technology President and CEO, commented:
Micron’s improved competitive position and strong execution helped us deliver solid results despite a challenging environment. While we are seeing early signs of demand improvement, we plan to reduce our capital expenditures in fiscal 2020 to help improve industry supply-demand balance.
Shares of Micron closed Tuesday at $32.68, with a 52-week range of $28.39 to $58.15. The consensus analyst price target is $44.86. Following the announcement, the stock was up 5.5% at $34.45 in the after-hours session.