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In advance of an analyst day presentation by memory-chip titan Micron Technology (MU) on May 21st, Evercore ISI’s CJ Muse today reiterates an Outperform rating on the shares, and an $80 price target, writing that the event will highlight “how memory is no longer just a commodity."

One big item on the agenda could be a buyback of as much as half the company, he believes.

Muse thinks the most immediate positive bit to come out of the meeting may be a positive pre-announcement about the May-ending fiscal Q3’s earnings: the Street wants $2.85 per share, but he thinks it’s possible it could end up being $3 per share, "driven by better than feared NAND pricing/GMs and continued strength in DRAM."

He thinks, too, the improving financial position of Micron “puts capital returns on the table,” which could include “a multiple-billion buyback over the next three to four years,” along with paying down Micron’s debt.

"We understand that the board may well have one foot in the 'old memory' playbook, and timing could be delayed,” he acknowledges.

But, “if we are right, MU could possibly be generating enough FCF to buy back as much as half the company over the next 3-4 year. Since the market clearly won't allow this to happen, look for shares to continue move higher."

But the big strategic focus will be how the data center is making memory more and more crucial, leading to a "new paradigm” in memory chips:

Memory has become crucial to the new data economy, and supply additions are becoming more capital-intensive. For DRAM, bit growth from shrinks alone is slowing, mandating a step-up in wafer adds each and every year. For NAND, there is clearly sufficient demand at the right price. Look for a major focus on these changing dynamics.

Muse thinks the upshot of all this is “60 is doable near-term” for the stock price.

Micron stock today up $1.27, or 2.5%, at $53.10, while the iShares PHLX Semiconductor ETF (SOXX) has risen 1.5% to $185.88.