Micron Technology, Inc. (NASDAQ:MU) try to takes its position in context of active momentum, while shares price plunged -1.84% during latest trading session. Micron Technology Chief Financial Officer David Zinsner will participate in a fireside chat at the Bernstein Technology Innovation Summit in New York, New York. The event will be webcast live at 10 a.m. Eastern time on Wednesday, Nov. 6.
Several salient technical indicators of firm are now starting to make their way into the trading conversation. Every investor and other stake holder of firm are most concerned with its profitability. So to answer this concerns frequently used tools of financial ratio analysis, is profitability ratios, which are used to determine the company’s bottom line and its return to its investors.
Start focusing on ordinary profitability ratio which covers margins; MU has gross profit margin ratio of 45.70% for trailing twelve months and operating margin is calculated as 29.80%, these are better detectors to find consistency or positive/negative trends in a firm’s earnings. So upper calculated figures are representing the firm’s ability to translate sales dollars into profits at various stages of measurement. To walk around the gross margin figure of firm that looks at how well a company controls the cost of its inventory and the manufacturing of its products and subsequently pass on the costs to its consumers.
Heading into today, shares of the chipmaker had gained 12.3% over the past month, outpacing the Computer and Technology sector’s gain of 5.66% and the S&P 500’s gain of 4.42% in that time.
Wall Street will be looking for positivity from MU as it approaches its next earnings report date. The company is expected to report EPS of $0.48, down 83.84% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.01 billion, down 36.63% from the prior-year quarter.
Any recent changes to analyst estimates for MU should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Following in trace line of profitability ration analysis; second part is covering returns. The returns on investment amplify the findings, the firm’s ROI concludes as 15.00%; it gives idea for personal financial decisions, to compare a firm’s profitability or to compare the efficiency of different investments. The returns on assets of firm also on noticeable level, it has ROA of 13.50%, which signifies how profitable a firm is relative to its total assets.
To make strengthen these views, the active industry Micron Technology, Inc. (NASDAQ:MU) has Quick Ratio of 1.80, which indicates firm has sufficient short-term assets to cover its immediate liabilities. In addition, the firm has debt to equity ratio of 0.16, sometimes it remains same with long term debt to equity ratio. Taking notice on volatility measures, price volatility of stock was 2.34% for a week and 2.52% for a month.