Stock Picks: Rivian and Micron Show Strong Potential for 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2d ago
0mins
Source: Fool
- Micron's Strong Growth: Micron Technology reported a 57% year-over-year revenue increase to $13.6 billion in its fiscal Q1 2023, primarily driven by robust performance in its cloud-memory segment, highlighting its competitive edge in the AI data center market.
- Attractive Valuation: Despite its stellar performance, Micron's forward P/E ratio stands at just 11.5, significantly lower than the S&P 500 average of 22, indicating that its stock remains a valuable investment opportunity for long-term holders.
- Rivian's Market Opportunity: While the electric vehicle market faces challenges, Rivian is poised to gain market share as competitor Ford withdraws its electric F-150, potentially enhancing brand recognition and driving sales growth.
- Financial Health: Rivian's Q3 revenue surged 78% year-over-year to $1.56 billion, with a price-to-sales ratio of only 3.2, showcasing a significant valuation advantage over competitors like Tesla, which could yield sustainable returns for investors.
Analyst Views on MU
Wall Street analysts forecast MU stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for MU is 336.12 USD with a low forecast of 235.00 USD and a high forecast of 500.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
26 Analyst Rating
24 Buy
2 Hold
0 Sell
Strong Buy
Current: 389.090
Low
235.00
Averages
336.12
High
500.00
Current: 389.090
Low
235.00
Averages
336.12
High
500.00
About MU
Micron Technology, Inc. provides memory and storage solutions. The Company delivers a portfolio of high-performance dynamic random-access memory (DRAM), NAND, and NOR memory and storage products through its Micron and Crucial brands. The Company's products enable advancing in artificial intelligence (AI) and compute-intensive applications. Its segments include Compute and Networking Business Unit (CNBU), Mobile Business Unit (MBU), Embedded Business Unit (EBU), and Storage Business Unit (SBU). CNBU segment includes memory products and solutions sold into the data center, PC, graphics, and networking markets. MBU segment includes memory and storage products sold into the smartphone and other mobile-device markets. EBU segment includes memory and storage products and solutions sold into the intelligent edge through the automotive, industrial, and consumer embedded markets. SBU segment includes SSDs and component-level storage solutions sold into the data center, PC, and consumer markets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
