Micron and Sandisk Face Value-Trap Fears Trade at 5x…
By Abdelaziz Fathi
AI summary of the source article
Micron and Sandisk traded near five times forward earnings during a semiconductor selloff, despite reporting record revenue and data-center demand, as memory investors price in a potential 2027 cyclical downturn.
Key facts
- Micron traded around 4.8 times forward earnings and Sandisk near 4.9 times, compared with roughly 18.5 times for the S&P 500.
- Micron's fiscal fourth-quarter revenue reached $54.23 billion with GAAP gross margin rising to 86.8%, and full-year net income approached $85 billion.
- Sandisk's fiscal first-quarter 2027 revenue grew 378% year over year to $11.03 billion, with data-center revenue climbing to $4.80 billion.
Source excerpt · FinanceFeeds
Micron and Sandisk Trade Near 5x Earnings as Memory Investors Price a 2027 Downturn Micron and Sandisk have fallen to forward earnings multiples of roughly five times even as both companies report record revenue, margins and data-center demand, leaving investors to decide whether the stocks are unusually cheap or simply displaying a familiar feature of the memory cycle: the lowest P/E often arrive…