MU Analysis — TradeApes

MICRON TECHNOLOGY INC (MU)

Technology Semiconductors

$864.01 close · Jun 06, 2026

Above 50 & 200 SMA

52W -20.0% from High

Methodology Breakdown

Methods agree on direction (under/over-valued) but the magnitudes diverge widely. The zone is defensible; the specific dollar isn't.

Method	Value	Role
DCF (Base Case)	$11.56	REFERENCE
DCF (TTM-anchored)	$14.58	REFERENCE
Peer Multiples	$435.98	REFERENCE
Earnings Power Value	$18.13	REFERENCE
Book Value Anchor	$419.80	REFERENCE
Earnings Anchor	$291.05	REFERENCE
Cash Floor	$8.53	REFERENCE
NAV Anchor	$419.80	REFERENCE

Verdict basis:


              direction_agreement

Health Score

Out of 100

Mixed

Pillar Scores

Financial Strength 85

Operating Trend 60

Valuation 15

Capital Allocation 65

Risk Management 80

Positives

↑ Net cash position — more cash on hand than total debt +3.8

↑ Strong interest coverage — EBIT covers interest 10×+ +2.5

↑ Free cash flow positive — business generates real spendable cash +2.5

Concerns

↓ Historically expensive — EV/EBITDA in top 20% of its 5-year range -6.3

↓ High P/E — 25–45×, growth premium already priced in -2.5

↓ Piotroski F-Score 0–3 — multiple financial weakness signals -1.3

Signal contribution: +14.9 from strengths -10.1 from concerns

Health Score Trend 7 snapshots

Cross-Check: Greenblatt Magic Formula

⚠ Divergent

Earnings Yield

6.8%

Rank 364 / 1256

Return on Capital

103.6%

Rank 275 / 1256

Combined Rank

85th pctl

1256 companies ranked

Magic Formula ranks this company higher than our composite. Our lower score is likely driven by factors the Magic Formula does not assess: cash flow quality, balance sheet risk, trend momentum, or sentiment signals.

Based on Joel Greenblatt's Magic Formula methodology. Not investment advice.

Financials

TTM Financials

Revenue ?Total sales generated from the company's primary business activities over the trailing twelve months.	58.12B
Gross Profit ?Revenue minus cost of goods sold. What remains before operating expenses — reflects pricing power and production efficiency.	33.96B
Operating Income ?Profit from core business operations after all operating expenses (EBIT). Excludes interest and taxes.	28.09B
Net Income ?Bottom-line profit after all expenses, interest, and taxes are deducted from revenue.	24.11B
Free Cash Flow ?Operating cash flow minus capital expenditures. The actual cash the business generates after maintaining its assets — the truest measure of profitability.	10.28B
EBITDA ?Earnings before interest, taxes, depreciation & amortization. A proxy for operating cash earnings that strips out accounting and financing differences.	36.84B
Total Debt ?Combined short-term and long-term interest-bearing debt obligations. Compare against cash and earnings to gauge leverage risk.	585.0M
Cash & Equivalents ?Highly liquid assets on hand — cash, money market funds, and short-term securities. The company's immediate financial cushion.	13.91B

Valuation

Market Cap	986.70B
Enterprise Value	974.03B
EV / Revenue	16.8x
EV / EBITDA	26.4x
P/E (TTM)	40.9x
Forward P/E (extrapolated)	22.2x
PEG	0.1x
P/FCF	96.0x
FCF Yield	1.0%

EV/EBITDA vs history — 87% percentile (historically expensive)

CheapMidExpensive

EV/Sales vs history — 87% percentile (historically expensive)

CheapMidExpensive

P/Book vs history — 88% percentile (historically expensive)

CheapMidExpensive

DCF Fair Value Range (base CAGR: -2.6%)

Bear

$191.05

Base

$170.64

Bull

$161.19

Bear $191 Current $864.01 (above range) Bull $161

Market is pricing in 28.3% FCF growth annually — base model assumes -2.6%

Key Metrics

Gross Margin ?Gross profit as a % of revenue. Measures how efficiently the company produces its goods or services — higher is better.	58.4%
EBITDA Margin ?EBITDA as a % of revenue. Shows core operating profitability before accounting adjustments — useful for comparing across industries.	63.4%
Net Margin ?Net income as a % of revenue. The ultimate measure of overall profitability after every expense, interest payment, and tax is accounted for.	41.5%
FCF Margin ?Free cash flow as a % of revenue. Shows how much of each dollar of revenue converts into real, spendable cash.	17.7%
Revenue Growth (YoY) ?Year-over-year change in total revenue. Measures business momentum — sustained growth above 15% is typically considered strong.	85.5%
Net Income Growth (YoY) ?Year-over-year change in net income. Shows whether profits are growing faster or slower than revenue — a key indicator of improving or deteriorating quality.	416.1%
Piotroski F-Score ?Score from 0–9 measuring financial strength across profitability, leverage, and efficiency signals. 8–9 = strong, 0–2 = distressed.	6 / 9
Altman Z-Score ?Bankruptcy risk model. Above 2.99 = safe zone, 1.81–2.99 = grey zone, below 1.81 = distress signal. Most useful for manufacturing companies.	4.30

Community Sentiment

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Quarterly Financials

Metric	Q2 '26	Q1 '26	Q4 '25	Q3 '25	Q2 '26	Q1 '26	Q4 '25	Q3 '24	Q2 '24	Q1 '24	Q '23	Q '23
Revenue ?Total quarterly sales from primary business operations.	23.86B	13.64B	11.32B	9.30B	8.05B	8.71B	7.75B	6.81B	5.82B	4.73B	—	3.75B
Gross Profit ?Quarterly revenue minus cost of goods sold.	17.76B	7.65B	5.05B	3.51B	2.96B	3.35B	2.74B	1.83B	1.08B	-35.0M	—	-668.0M
Operating Income ?Quarterly profit from core operations before interest and taxes (EBIT).	16.14B	6.14B	3.65B	2.17B	1.77B	2.17B	1.52B	719.0M	191.0M	-1.13B	—	-1.76B
Net Income ?Quarterly bottom-line profit after all expenses and taxes.	13.79B	5.24B	3.20B	1.89B	1.58B	1.87B	887.0M	332.0M	793.0M	-1.23B	—	-1.90B
FCF ?Quarterly free cash flow: operating cash minus capital expenditures.	5.52B	3.02B	72.0M	1.67B	-113.0M	38.0M	285.0M	396.0M	-165.0M	-395.0M	-1.21B	-1.54B

Revenue & Free Cash Flow

Market Cap vs. DCF Fair Value Band

Shaded region = bear-to-bull DCF range. Line = actual market cap.

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Disclaimer: This analysis is for informational purposes only and does not constitute investment advice. Scores and valuations are derived from SEC filings and publicly available data. Always do your own research before making investment decisions.