Micron Technology, an American multinational company operating in the semiconductor sector, recorded above-expected results in the first quarter of FY 2022 (ended December 2, 2021) and reported a positive outlook for the next few months. Last quarter’s revenue was $7.69 billion, compared to $8.27 billion in the previous quarter and $5.77 billion for the same period last year. Non-GAAP net income was $2.47 billion, while earnings per share were $2.16. The market, according to Refinitiv data, expected sales of $7.67 billion and earnings per share of $ 2.11 per share.
Micron Technology [MU.O] is stable at $94.52 in pre-trading (+ 0.1%). Yesterday, this stock closed at $94.43 (+0.1%). The intonation of Micron Technology remains positive, which after a strong rise up to almost $90 has started physiological profit taking, returning to support in the $80 area. From here, it has restarted in strength by now reaching our final target (last article is of 21 December) in the $97 area. On the test of the maximums, one can close half the size and bring the stop loss very close. In this way, if Micron Tech were to break upwards, it will continue, perhaps even increasing the size again if it is considered a break in strength. Otherwise, in the event that the resistance pushes down the prices, the stop would still close the overall operation with a gain. (50% closed on the top and 50% just below).
We recommend going LONG on the action by buying the Leverage Shares 2X Micron Technology ETP (ISIN: IE00BKT66K01), with an increase in exposure on possible decreases towards $90, with short-term target towards $97. Alert/stop loss should be below $90 (closing daily).
