Micron Technology, Inc. (MU) — Fundamental Analysis & Key Financial Ratios

Kaplio's reading: Micron Technology, Inc.

Updated on October 31, 2026 · accounts published on September 30, 2026

A highly profitable chipmaker with record margins and a cash-rich balance sheet

Micron Technology trades at a P/E of 11.9× over the last 12 months, 63 % below its sector median, with a record 75 % operating margin.

• Is Micron Technology expensive or cheap? Its P/E of 11.9× over the last 12 months is 63 % below the 32.0× median of its sector.
• How is the business doing? Operating margin reached 75 % in fiscal 2026, the highest in 12 years and more than triple the 22 % average since 2015.
• Is it growing with real cash or by diluting shareholders? Free cash flow was 44 % of revenue in fiscal 2026, while stock-based pay took only 1.0 %.
• How strong is the balance sheet? Net cash of $33.85 per share in fiscal 2026 and debt to equity of 0.04 over the last 12 months.
• What to expect from the next earnings? Results due December 23, 2026: analysts expect EPS of $38.20, after 8 beats in the last 8 quarters.

Is Micron Technology expensive or cheap?

Micron Technology trades at a P/E of 11.9× over the last 12 months, 63 % below the 32.0× median of 314 companies in its sector. Its EV/EBITDA of 8.9× is below its own five-year average of 13.8×, which counts as cheap for technology. The low multiples come after a 295 % rise in the stock over 12 months, so EPS has grown faster than the price. The free cash flow yield is 4.5 % and the earnings yield 4.9 %. The stock is 27 % below its 52-week high of $1,213.56, and its 52-week low of $201.37 shows how wide the swing has been.

How is the business doing?

Over the last 12 months revenue grew 256 % and EPS 879 %. The fiscal 2026 operating margin of 75 % is the highest of the 12 fiscal years since 2015, against an average of 22 % for that period, and the net margin over the last 12 months is 64 %. ROIC of 50 % over the last 12 months is 42 points above the 8 % sector median. History calls for caution: ROIC cleared 10 % in 7 of the last 10 fiscal years, and the worst year was 2023 at −9.6 %. A margin this far above its own average is the main figure to watch.

Is it growing with real cash or by diluting shareholders?

In technology, generic ratios miss what matters most: growth, pricing power and dilution through stock-based pay. Micron Technology passes all three tests. Revenue per share grew 103 % a year over fiscal 2023-2026, against a healthy threshold of 15 %. A gross margin of 81 % in fiscal 2026 is far above the 45 % considered healthy for semiconductors, a sign of pricing power. Free cash flow equal to 44 % of revenue is more than twice the 20 % bar, and stock-based pay of 1.0 % of revenue stays well under the 10 % healthy limit. The growth is reaching shareholders as cash.

How strong is the balance sheet?

Micron Technology holds far more cash than debt: $38.54 per share in cash against $4.69 in debt in fiscal 2026, leaving net cash of $33.85, equal to 3.8 % of the share price. Net debt to EBITDA of −0.3× compares with the 2.0× that semiconductor companies can tolerate. A current ratio of 3.31, an Altman Z of 15.0 in the safe zone and a Piotroski score of 8 out of 9 all point the same way. Payouts are small: the dividend yields 0.1 % over the last 12 months and takes 1 % of earnings, although it has risen for 4 straight fiscal years.

What to expect from the next earnings?

On September 30, 2026, Micron Technology reported EPS of $33.42 against $31.77 expected, a 5 % beat and its eighth in the last eight quarters. For the quarter due December 23, 2026, analysts expect $38.20. Estimates keep moving up: the 2027 EPS consensus rose 9.5 % in the last 30 days, from $160.05 to $175.32 across 29 analysts, and the revenue consensus rose 8.9 %. Of the 70 analysts covering the company, 58 rate it a buy, 10 a hold and 2 a sell. With expectations rising this fast, the next report has a higher bar to clear.

How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.