Micron price target raised to $75 from $65 at Evercore ISI

Evercore ISI analyst C.J. Muse raised the firm’s price target on Micron to $75 from $65 and keeps an Outperform rating on the shares as the firm previews Micron earnings. Evercore is updating its model to reflect expectations for a "modest" February quarter topline miss and "significantly below-plan" EPS as Micron recognizes a material inventory charge that was not previously embedded in guidance, driven by weaker than expected pricing. However, the firm contends that visibility is improving for an imminent gross margin bottom as it is now modeling a February quarter bottom provided no subsequent write-downs along with a positive inflection in pricing into calendar year 2024.