12:15 AM EDT, 03/21/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lift our 12-month target to $130 from $110, on a P/E of 13.5x our CY 25 EPS view, near historical. We up our FY 24 (Aug.) per share estimate to $0.83 EPS from a $0.20 loss and raise FY 25's EPS to $8.25 from $7.28. MU posts Feb-Q EPS of $0.42 vs. -$1.91, beating the $0.24 consensus loss view. Sales rose 23% from Nov-Q, above expectations, led by +21% DRAM growth and +27% for NAND. Gross margin of 20% and 26.5% May-Q guide are well ahead of our view, as MU benefits from a strong pricing recovery and favorable mix. We think customer inventories have dramatically improved and see greater earnings leverage in this cycle, while capex outlook remains unchanged, supporting a tighter supply/demand landscape. Along with our view for higher revised consensus estimates, we see the potential for shares to be re-rated given content gain potential and increasing shift towards higher-value AI servers. MU already appears to have largely allocated all its HBM supply through 2025 (HBM3e consumes 3x the wafer supply as DDR5).