12:30 PM EDT, 08/11/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We maintain our 12-month target price at $150, on a P/E of 10.7x shifting to our CY 2027 EPS view, within its 10-year historical range and below peers given notable earnings volatility. We raise our FY 25 (Aug.) EPS estimate to $8.11 from $7.61, FY 26 to $12.55 from $11.81, and FY 27 to $14.18 from $13.71. MU provided a preliminary update to its previously provided Aug-Q guidance and now sees revenue of $11.2 billion ($10.7 billion prior) at the midpoint, gross margin of 44.5% (42%), and non-GAAP EPS to $2.85 ($2.50). We attribute the upside to better-than-expected pricing, mainly in DRAM, as well as strength across its entire platform of higher value/margin offerings. Although we acknowledge near-term concerns about pull-ins in certain cyclical markets, like PCs, amid tariff uncertainties, we think AI server penetration remains extremely robust and we like the potential pipeline/content growth opportunity ahead for MU over the next 24 months. We see room for further margin expansion, on improved product mix.