Investing.com – Micron (NASDAQ:) is up about 50% for the 12 months, but UBS slice its outlook on the chipmaker Friday amid anxieties that falling memory charges are probably to retain a lid on progress.
UBS explained it was having “a more careful check out on NAND pricing” by way of following yr and reduce its earnings and revenue estimates on the firm for 2020 and 2021. Micron fell 1.5%.
Micron has forecast adjusted earnings in the array of 39 cents to 53 cents a share on profits of $4.8 billion to $5.2 billion for the first quarter of its new fiscal calendar year, the getaway quarter.
That was under estimates from Wall Avenue for earnings of 53 cents a share on earnings of $4.8 billion on average, in accordance to FactSet.
Other people look to agree. Nomura explained memory prices are continuing to slide and warned that “the December-quarter outlooks of a lot of of the broader-dependent chip firms recommend ongoing softness.”
But it’s not just Micron reeling beneath the force of falling memory costs.
Samsung (KS:) not too long ago noted that semiconductor revenues declined 29% year above 12 months to about $15 billion in the 3rd quarter of the year, as margins ended up harm by a sharp decline in equally NAND and DRAM charges.
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