The stocks of Micron Technology, Inc. (NASDAQ:MU) spiked up when the news that its SDRAMs will be used in Inspur products hit the market. According to the sources, Inspur will start using Micron’s chips in its 2U products by January 2015. The new 2U products will not only deliver better performance but they will also save power while running the cloud computing applications and programs.

According to Robert Feurle, vice president marketing at Micron Technology, Inc. (NASDAQ:MU), the demand of Micron’s products is on a rise, and it is due to this high demand of these products in the intensive workloads and virtualization programs that the company is seeing such a growth in the market. He further said that the company fully cooperates with its partners in order to meet the needs of the users.

Moreover, the ratings team gave the stocks a rating of ‘buy’ with a score of A- on its stocks. The team, when asked about their recommendation, said that Micron Technology, Inc.’s (NASDAQ:MU) had a number of strengths, which balanced the company’s weaknesses. Elaborating on the strengths of the company, the ratings team said that Micron has a remarkable revenue growth, impressive EPS growth, a firm financial position in the stock market, amazing ROE and a growth in the net income.

Some Highlights from the Report:

• The revenue growth of Micron Technology, Inc. (NASDAQ:MU) surpasses the average of industry; that is 9 percent. Moreover, the revenue of the company for the most recent quarter increased by 71.8 percent when compared with the numbers of the same quarter a year back. The increase in revenues seems to have reached the bottom line as the earnings are on a rise.
• The stocks of Micron have increase by 109.44 percent over a period of one year, mainly due to its huge earnings growth; the earnings growth increased by 1600 percent, surpassing the average of Standard & Poor’s 500. Analysts are of the view that the stocks will continue to rise in the future, despite the fact that their numbers have doubled over a period of one year.
• The company announced an increased EPS for the most recent of its quarters. Moreover, Micron Technology, Inc (NASDAQ:MU) has been showing positive earnings performance for the last two years. Analysts are of the opinion that the earnings will rise even further this year. Last year, the company reported earnings of $1; however, this year, the researchers predict earnings of $3.21.
• Coming to the growth in net income, the company has seen significant increase in this sector as well. The numbers have surpassed the average of industry as well as the S&P 500. This year, the income rose to $806 million from previously held figures of $43 million.
• Micron’s ROE is also on a rise, which suggests that the company’s management is quite good. The ROE of Micron Technology, Inc (NASDAQ:MU) surpasses both the industry as well as the S&P 500’s average.

 

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