Why Is Wall Street So Bullish on Micron? There's 1 Key Reason.

Yahoo Finance ·

It's no secret that Wall Street loves Micron Technology ( MU 5.68% ) stock. On the heels of the company's recent quarterly report, it's also not hard to see why. Micron recorded non-GAAP (adjusted) earnings per share of $25.11 on sales of $41.46 billion in the third quarter of its current fiscal year, which ended May 28. Meanwhile, the average analyst estimate had called for an adjusted profit of $20.78 per share on sales of $35.84 billion in the period. As impressive as the memory chip leader's performance was in the period, that's far from the only reason that many Wall Street investment firms are super bullish on Micron stock right now. Read on for a look at one key factor that helps explain why Micron stock has risen more than 800% over the last year -- and why top Wall Street analysts think that the stock can keep climbing. In terms of operating income, analysts polled by FactSet expect Micron to be the world's third-most profitable company in the 2027 calendar year. The average estimate calls for the business to record operating income of $200.8 billion in the period, trailing only Alphabet 's estimated $207.6 billion and Nvidia 's estimated $359.4 billion. For reference, the average analyst estimate calls for Microsoft and Apple to post operating profits of $194 billion and $170.5 billion, respectively.

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