FMP
Jul 2, 2022 12:12 AM - Davit Kirakosyan
Micron Technology, Inc. (NASDAQ:MU) shares closed nearly 3% lower on Friday following the company’s reported Q3 results. While the earnings beat the estimates the quarter was highlighted by a massive cut to Q4 guidance, which was a result of weakening consumer demand in PC and Smartphone markets.
Q3 EPS came in at $2.59, better than the Street estimate of $2.44. Revenue was $8.64 billion, slightly above the Street estimate of $8.63 billion.
For Q4/22, the company expects EPS in the range of $1.43-$1.83, compared to the Street estimate of $2.62. Quarterly revenue is expected in the range of $6.8-$7.6 billion, compared to the Street estimate of $9.05 billion.
Analysts at Deutsche Bank provided their views following the disappointing outlook announcement, stating that they are surprised by the magnitude of the cut and see this correction continuing into Q1 with ASPs continuing to erode.
The analysts expect Q1 to be the EPS trough of this cycle and expect gradual improvement in the first half of 2023. On the flip side, the analysts highlight the continued strength of data centers, which management expects to continue in the second half of 2022, as a potential offset to an overall weaker demand environment.
The analysts lowered their full 2023-year EPS from $12.00 to $6.75, and as a result their price target moved to $70 from $100.
Sep 11, 2023 1:38 PM - Rajnish Katharotiya
Price to Earnings is one of the key metrics use to value companies using multiples. The P/E ratio and other multiples are relative valuation metrics and they cannot be looked at in isolation. One of the problems with the P/E metric is the fact that if we are in the peak of a business cycle, earni...
Sep 11, 2023 1:49 PM - Rajnish Katharotiya
Price-to-Earnings ratio is a relative valuation tool. It is used by investors to find great companies at low prices. In this post, we will build a Python script to calculate Price Earnings Ratio for comparable companies. Photo by Skitterphoto on Pexels Price Earnings Ratio and Comparable Compa...
Oct 17, 2023 3:09 PM - Davit Kirakosyan
Shares of VMware (NYSE:VMW) witnessed a sharp drop of 12% intra-day today due to rising concerns about China's review of the company's significant sale deal to Broadcom. Consequently, Broadcom's shares also saw a dip of around 4%. Even though there aren’t any apparent problems with the proposed solu...