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BOISE, Idaho - Micron Technology, Inc. (NASDAQ:MU), known for its memory and storage solutions, today announced a reorganization into four market segment-focused business units. This move is aimed at leveraging the growth opportunities presented by artificial intelligence (AI) across various sectors, from data centers to edge devices. Micron, recognized for its leadership in DRAM and NAND technologies, is positioning itself to better engage with customers and meet the evolving demands of the industry. The company, currently valued at $77.5 billion, has demonstrated strong financial performance with revenue of $31.3 billion in the last twelve months and a healthy current ratio of 3.13. According to InvestingPro analysis, Micron appears undervalued based on its Fair Value calculation.
The transition to the new business structure will begin immediately and is expected to be completed by the start of the company’s fiscal fourth quarter on May 30, 2025. Micron plans to report its financial outcomes under this new arrangement starting with the fourth quarter of the fiscal year 2025. With analysts forecasting significant sales growth and profitability for the current year, this restructuring comes at a strategic time. InvestingPro subscribers have access to over 30 additional financial metrics and insights about Micron’s performance and outlook.
The newly formed business units are as follows:
1. Cloud Memory Business Unit (CMBU), led by Raj Narasimhan, will concentrate on memory solutions for large cloud customers and high-bandwidth memory for all data center clients.
2. Core Data Center Business Unit (CDBU), under Jeremy Werner’s leadership, will focus on memory solutions for OEM data center customers and storage solutions for data centers.
3. Mobile and Client Business Unit (MCBU), headed by Mark Montierth, will cater to the mobile and client segments with memory and storage solutions.
4. Automotive and Embedded Business Unit (AEBU), led by Kris Baxter, will provide memory and storage solutions for automotive, industrial, and consumer segments.
Sumit Sadana, Executive Vice President and Chief Business Officer at Micron, stated that this reorganization marks the completion of the company’s evolution to a market segment-focused structure, enhancing opportunities for AI-led growth in each business unit. He emphasized that the new structure would enable Micron to partner more deeply with customers and continue building on their portfolio momentum. The company’s financial health appears solid, with moderate debt levels and liquid assets exceeding short-term obligations. For detailed analysis of Micron’s strategic positioning and financial outlook, investors can access the comprehensive Pro Research Report available on InvestingPro.
Micron Technology is at the forefront of transforming information use, delivering a broad range of high-performance memory and storage products. The company’s commitment to customer focus, technological leadership, and operational excellence positions it to fuel advancements in AI and compute-intensive applications.
This reorganization reflects Micron’s strategic response to the increasing importance of high-performance memory and storage in driving AI growth. The information for this article is based on a press release statement from Micron Technology, Inc.
In other recent news, Micron Technology has made significant moves to address the financial impact of tariffs by imposing a surcharge on certain U.S. products, specifically targeting memory modules and solid-state drives. This decision aims to offset costs from tariffs introduced during the Trump administration. In parallel, Citi has reiterated its Buy rating on Micron shares, maintaining a price target of $120. This follows updates from TrendForce, which revised its 2Q25 forecast for PC DRAM prices to a flat rate, citing normalized inventory levels at PC OEMs. TrendForce also expects a 3Q25 increase in DRAM pricing between 8-13% quarter-over-quarter, potentially benefiting Micron’s financial performance.
Additionally, Micron’s resilience amid China restrictions has been highlighted by JPMorgan, which notes the company’s minimal exposure to affected product stock keeping units in China. Despite regulatory challenges, JPMorgan maintains a positive outlook on Micron’s role in the high-bandwidth memory market. Meanwhile, Lynx Equity has focused on NVIDIA Corporation’s strategic developments, noting the potential benefits of a new manufacturing facility in Texas to offset revenue losses in China. Lynx Equity anticipates that the Texas campus will expedite deliveries to U.S. customers within the next 12 months.
Lastly, TrendForce has reported a positive shift in the DRAM and NAND markets, with expectations for price stability and potential increases. This development is seen as favorable for Micron, as these products represent a significant portion of the company’s sales. Citi analysts have echoed these sentiments, predicting a recovery in NAND pricing by 3Q25.
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