Micron Earnings Are Good Enough, For Now (Rating Upgrade)
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The Techie4.12K FollowersFollow5ShareSavePlay(9min)Comments(2)SummaryMicron Technology delivered a decisive upside surprise in Q1 '26, beating revenue and EPS expectations, and issued robust forward guidance that reset AI-driven sentiment.MU guided for $18.7 billion in revenue and $8.42 adjusted EPS for 2Q26, nearly doubling prior expectations, with gross margins set to expand to 68%.High bandwidth memory demand is outstripping supply, with the company 'more than sold out' for 2026, supporting a sustained pricing power narrative.I'm upgrading MU stock to Buy, and I see structural demand, margin expansion, intentional capital discipline, and an attractive valuation at 7.9x forward P/E supporting more upside in 2026.I hereon share my sentiment on MU and why the stock is a buy in my books at current levels.KVLADIMIRV/iStock via Getty Images Micron Technology, Inc. (MU) reported fiscal Q1 '26 on Wednesday after the bell, and the stock was up around 3% on the print alone but extended gains after the earnings call and wasThis article was written byThe Techie4.12K FollowersFollowI’m a retired Wall Street PM specializing in TMT; since kickstarting my career, I’ve spent over two decades in the market navigating the technology landscape, focusing on risk mitigation through the dot com bubble, credit default of ‘08, and, more recently, with the AI boom. In one word, what I’d like my service to revolve around is momentum.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.