I’ve started a position in MU after looking into them a bit more today,
Checking their numbers for the last number of quarters, the acceleration is clear and predictable. Sequentially they’ve been adding about a billion extra in revenue each quarter for the last year. Additionally, EBITDA, net income and gross margin have done a complete turn around going from deeply unprofitable to highly profitable.
Revenue
3.7B → 3.8 → 4 → 4.7 → 5.8 → 6.8 → 7.8
EBITDA
-275M → 307 → 476 → 787 → 2115 → 2636 → 3509
Net income
-2312M → -1896 → -1430 → -1234 → 793 → 332 → 887
Gross margin
-35% → -18 → -11 → -1 → 18 → 27 → 35
Micron is highly diversified amongst customers and segments of the economy,
Industry breakdown
Automotive, Industrial & Consumer - 20%
Mobile - 25%
Client & Graphics - 15%
Enterprise & Cloud Server - 20%
SSDs & Other storage - 15%
Sector/Device revenue breakdown (in millions)
Compute & Networking - 3018
Mobile - 1875
Storage - 1681
Embedded - 1172
Micron is guiding to another step up in revenue, gross margin, and EPS where if they even meet the guidance, the numbers would be extremely impressive accelerations.