Key insights
- The article discusses the potential for Micron (MU) to reach a trillion-dollar market capitalization based on optimistic price targets. While acknowledging the positive sentiment and growth prospects in the memory sector, it questions the feasibility of such a high valuation compared to its peers. This bullish outlook could drive short-term investor interest in MU and the semiconductor sector.
Over the past month MU has received a lot of attention in the memory space. The sentiment I’ve seen is how undervalued it is compared to its peers, mostly because of its forward PE and memory narrative. I’ve seen price targets from $1,000 to $1,500 and even higher. Unless I’m mistaken, these share prices would make MU a trillion dollar company (currently ~700b at today’s share price). Most of the other big players in memory, even SNDK, are still at sub 200b market caps despite their awesome returns and outlook. It seems like MU is well on its way to hit these targets though. Is it really a trillion dollar brand? (Congrats to all who invested by the way)