Why the Market Dipped But Micron (MU) Gained Today

Micron (MU) closed the latest trading day at $80.71, indicating a +1.52% change from the previous session's end. The stock outpaced the S&P 500's daily loss of 0.6%. Elsewhere, the Dow lost 0.17%, while the tech-heavy Nasdaq lost 0.92%.

The the stock of chipmaker has fallen by 10.91% in the past month, lagging the Computer and Technology sector's gain of 3.1% and the S&P 500's gain of 3.56%.

The upcoming earnings release of Micron will be of great interest to investors. On that day, Micron is projected to report earnings of -$0.28 per share, which would represent year-over-year growth of 85.34%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.32 billion, up 44.1% from the year-ago period.

MU's full-year Zacks Consensus Estimates are calling for earnings of -$0.43 per share and revenue of $22.18 billion. These results would represent year-over-year changes of +90.34% and +42.76%, respectively.

It is also important to note the recent changes to analyst estimates for Micron. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been a 1.13% rise in the Zacks Consensus EPS estimate. Right now, Micron possesses a Zacks Rank of #3 (Hold).

The Semiconductor Memory industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 111, positioning it in the top 45% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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