Why Micron Stock Popped Again Today

Core Insights - Micron has updated its fiscal Q4 2025 guidance, projecting revenue to exceed previous estimates, now aiming for $11.2 billion to $11.3 billion, up from an earlier forecast of $10.7 billion [3][4] - The company is also increasing its gross profit margin target to 43.5%, up from 41%, which contributes to a more optimistic bottom-line forecast [3] - Earnings per share (EPS) expectations have been raised from a range of $2.14 to $2.44 to a new range of $2.57 to $2.71, reflecting an additional $0.35 per share in profit [4] Financial Performance - Analysts are expected to adjust their consensus EPS estimates to $8.17 for the year, resulting in a price-to-earnings (P/E) ratio of approximately 15, which is considered low given the anticipated 600% year-over-year earnings growth [4] - Despite the positive earnings outlook, Micron has not disclosed its free cash flow (FCF) for the year, which is currently about one-third of reported net income, indicating a potential area of concern [4]