Micron Technology, Inc. (NASDAQ: MU) is having an overwhelmingly strong start to the trading session this morning, and for good reason. The company issued a press release updating investors with regard to both guidance and management. The positive updates caused excitement among investors, sending the stock screaming for the top. Today, we’ll talk about the updates, what we’re seeing from the stock, and what we’ll be watching for with regard to MU ahead.
MU Updates Q2 Guidance
As mentioned above, Micron Technology is having an overwhelmingly strong start to the trading session this morning after updating guidance and providing an update with regard to management. On the guidance front, the update was overwhelmingly positive, leading to stronger expectations for the second quarter earnings report. Here’s what we saw:
- Revenue – In terms of revenue, MU announced that it expects the figure to come in the range between $7.20 billion and $7.35 billion. This proves to be a strong increase over the $6.80 billion and $7.20 billion. Not to mention, Wall Street analysts were only expecting to see revenue in the amount of $7.02 billion.
- Earnings – In terms of earnings, MU said that it is expecting to report the figure in the range between $2.70 and $2.75 per share. Previously, this figure was expected to come in the range between $2.51 and $2.65 per share. At the moment, analysts are expecting earnings in the amount of $2.57 per share.
In a statement, Sanjay Mehrotra, President and CEO at MU, had the following to offer:
We continue to execute well against our strategic priorities as we undergo our chief financial officer transition… We look forward to sharing more details in our fiscal second quarter earnings conference call.
MU Announces CFO Transition
In other news, Micron Technology also recently announced the appointment of David Zinser as the Vice President and Chief Financial Officer of the company. This move will take effect on February 19, 2018 as Zinser succeeds Ernie Maddock. Maddock will be retiring as the CFO but will remain with the company as an adviser through early June to help to make sure that the transition is a smooth one. In a statement, Mehrotra had the following to offer:
I am fortunate to have been part of Micron’s progress over the last few years… My focus now is on supporting Dave and Sanjay during the transition period to ensure a seamless and effective handoff.
Dave brings a great combination of financial expertise and executive experience to Micron and has a strong track record of achieving outstanding results… We look forward to his relationship driving our financial strategy and delivering significant value to our shareholders.
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