"Looking for Tech ideas that A) our Tech Sector Head Ami Joseph likes and B) are signaling immediate-term TRADE oversold within bullish TRENDs?" Hedgeye CEO Keith McCullough wrote earlier today. "We say Micron Technology (MU) down -6.2% into the close."
According to Joseph's most recent Institutional Research note, he had this to say about MU:
- Prices for November and December monthly PC DRAM (and server DRAM) are already above the quarter-price deals struck in September. Specifically, if the Q was ~$17 per module, November might be $18, and December $19.
- Biggest shocker? Customers are seeking quarterly price deals for 1Q17, at prices higher than Nov-Dec levels, up approximately 30% q/q. Price increases may even extend into mobile DRAM for 1Q.
- How good does this get? Micron’s November quarter is about to close. We are more or less in-line with Street. But for the coming February quarter, the recent data – when confirmed – would put us over 130% above Street for Feb-Q EPS.
