Micron Technology (MU) Stock: Here’s Why It’s Soaring

Micron Technology, Inc. (NASDAQ: MU) is having an overwhelmingly strong start to the trading session this morning, and for good reason. Early this morning, the company announced that it has accelerated edge storage for video surveillance and entered into new collaborations in order to increase adoption of the product. Of course, this led to excitement among investors, sending the stock upward and prompting an alert from our partners at Trade Ideas. Below, we’ll talk about the news, how MU reacted, and what we’ll be watching for ahead.

MU Accelerates Edge Storage And Announces New Collaborations

As mentioned above, Micron Technology is having an overwhelmingly strong day in the market today after the company announced a full portfolio of edge storage solutions for video surveillance. These solutions were specifically designed to enable deployment models and reduce the total cost of ownership in both commercial and enterprise use. In the press release, MU said that its new industrial-grade microSD products will hit the market in 2018, leveraging the company’s 3D NAND technology and providing up to 256GB of ultra-high-density storage.

Through the new solution, system designers will have unprecedented freedom when it comes to designing large distributed video surveillance systems. Ultimately, this approach will enable large amounts of video to be stored at the network edge, providing a high level of reliability for 24/7 video surveillance and recording.

Along with the announcement of the improved product, MU also announced collaborations. The company has entered into collaborations with Shenzhen Security and Protection Industry Association as well as Jinyu Golbal. The goal of these partnerships is to speed the deployment and adoption of the new Micron Technology solutions regionally. In a statement, Jeff Bader, Vice President of the Embedded Business Unit at MU, had the following to offer:

The video surveillance industry is unique as its customers demand consistent recording performance over years of use… Edge storage improves the economics of this high-growth market and delivers value for camera OEMs, system integrators and end customers by improving video quality and increasing network reliability. Our collaborations with Jinyu and with the industry association in Shenzhen will help ensure that Micron is aligned with industry standards while expanding its storage offerings and presence in China and beyond.”

How The Stock Reacted To The News

As investors and traders, we’ve come to expect that when positive news is released with regard to a publicly-traded company, we can expect to see gains in the value of the stock as a result. That’s exactly what we’re seeing from Micron Technology today. Following the release of the news, the stock started to find its way upward as investor excitement set in. Currently (10:14), MU is trading at $44.04 per share after a gain of $2.39 per share (5.73%) thus far today.

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What We’ll Be Watching For Ahead

Moving forward, the CNA Finance team will be keeping a close eye on MU. In particular, we’re interested in following the uptake of the edge product as well as following the collaboration agreements to see what they result in. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!

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