Wedbush lowered its price target on Micron Technology, Inc. (NASDAQ:MU) to $65.00 from $85.00, but maintained its Outperform rating given its view that the company has significantly improved its competitive positioning in both DRAM and NAND.

When the company guided Q4 initially, it appeared as if management was assuming a worst-case scenario. In retrospect, their guide likely did not prove conservative enough given (1) softness in handsets has continued, (2) PC estimates have ground lower, (3) Chinese demand across categories has remained soft and/or deteriorated, and (4) Enterprise/cloud customers have taken a more conservative stance around inventories.