Micron Technology, Inc. (NASDAQ: MU)

Micron Technology, Inc. (MU), a global semiconductor systems company yesterday reported their fiscal second quarter 2017 financial results. Micron reported second quarter adjusted earnings of $0.90 per share which beat analyst expectations of $0.81 per share. Micron reported second quarter revenues of $4.65 billion which is exactly what analysts were expecting.  

Micron Technology, Inc.  CEO’s Comments

"Strong demand and limited industry supply for NAND and DRAM solutions, combined with significant progress on our cost reduction plan, produced excellent results for our second quarter," said Micron CEO Mark Durcan. "I'm proud of the team's execution on critical technology and operational initiatives, which will allow us to continue to capitalize on market trends."  Globe Newswire

MU Technical Analysis

MU opened trading yesterday at $26.36 which was up from the previous day’s trading close of $26.06. Shares closed trading yesterday at $26.47 and spiked up after market to $29.19, equivalent to a 10% increase from the closing price. Taking a look at the daily chart we can see that the last time MU traded above these levels we have to go all the way back to April 27th, 2015 when it traded at $29.27.

Taking a closer look at the daily chart we can see that before the spike up MU had already been in an overall upward trend dating back to May 13th, 2016 when it traded at $9.13. MU has a float of 1.04 billion shares and traded 1.40 times the normal daily trading volume on Thursday. This is higher priced than most of the penny stocks I day trade with Warrior Trading but it should still provide plenty of opportunity to scalp throughout the day.

For trading purposes, I would like to see MU open trading on Friday above $28.25 and if it does I would be looking to take a long position at the bell. My stop loss would be $0.25 from my entry position fearing anything more than that and the stock would start to fill in the gap up.

Company Profile

Micron Technology, Inc. provides semiconductor systems worldwide. The company operates through four segments: Compute and Networking Business Unit, Storage Business Unit, Mobile Business Unit, and Embedded Business Unit.

It offers DDR3 and DDR4 DRAM products for computers, servers, networking devices, communications equipment, consumer electronics, automotive, and industrial applications; mobile low-power DRAM products for smartphones, tablets, automotive, laptop computers, and other mobile consumer device applications; DDR2 and DDR DRAM, GDDR5 and GDDR5X DRAM, SDRAM, and RLDRAM products for networking devices, servers, consumer electronics, communications equipment, computer peripherals, automotive and industrial applications, and computer memory upgrades; and hybrid memory cube semiconductor memory devices for use in networking and computing applications.

The company also provides NAND Flash products, which are electrically re-writeable, non-volatile semiconductor memory devices; client solid-state drives (SSDs) for notebooks, desktops, workstations, and other consumer applications; enterprise SSDs for server and storage applications; managed multi-chip package products; digital media products, including flash memory cards and JumpDrive products under the Lexar brand name. In addition, it manufactures products that are sold under other brand names; and resells flash memory products that are purchased from other NAND Flash suppliers.

Further, the company provides 3D XPoint memory products; and NOR Flash, which are electrically re-writeable and semiconductor memory devices for automotive, industrial, connected home, and consumer applications. It markets its products to original equipment manufacturers and retailers through its internal sales force, independent sales representatives, and distributors; and through a Web-based customer direct sales channel, and channel and distribution partners. The company was founded in 1978 and is headquartered in Boise, Idaho.  Yahoo Finance