Auriga Reiterates Micron Technology (MU) Buy Rating
February 12, 2010 7:53 PM
Auriga analysts Daniel Berenbaum and Jie Liu reiterated their Buy rating and $11 price target for shares of Micron Technology, Inc. (Nasdaq: MU).
The Auriga analysts said that as a cost and technology leader in both DRAM and NAND and with supply/demand likely to remain in balance, there was the potential for Micron Technology to reach more than $1.50 free cash flow within two years.
The acquisition of Numonyx was also looked upon favorably and the analysts said that in a worse case scenario, the deal would be neutral to Micron Technology's earnings per share.
Some risks facing the company are that demand could be weaker then expected and if consumers move more quickly towards netbooks, it could have a negative impact on the DRAM content per Personal Computer.
The 52 week price range for Micron Technology is $2.55 to $11.34.
Shares ended Friday at $8.44, down 1% for the day.
