5 Semiconductor Stocks to Watch as Shortage Turns to Glut

1. Micron Technology, Inc. (NASDAQ:MU)

Number of Hedge Fund Holders: 78

YTD Loss as of July 15: 35.74%

Analysts are bearish on Micron Technology, Inc. (NASDAQ:MU) and are cutting their price targets and also downgrading the stock, citing negative demand trends in its key-end markets for their bearish stance. The company also recently experienced power disruption at its Hiroshima facility on July 8 and reported that it expects production output loss from both productivity and wafer scrap for the two quarters ahead.

On July 1, Baird analyst Tristan Gerra slashed his price target on Micron Technology, Inc. (NASDAQ:MU) to $60 from $90 and reiterated a Neutral rating on the shares, citing muted demand growth for smartphones and demand for PC units to be flat. On July 5, Fox Advisors analyst Steve Fox downgraded Micron Technology, Inc. (NASDAQ:MU) to Equal Weight from Overweight.

Over the past 3 months, 26 Wall Street analysts have offered 12-month price targets for Micron Technology, Inc. (NASDAQ:MU), with the highest being $165 and the lowest being $50. Micron Technology, Inc. (NASDAQ:MU) has an average price target of roughly $81, which implies a 31.50% upside from the stock’s closing price of $61.53 on July 15. The stock has received 20 Buy ratings, 5 Hold ratings, and 1 Sell rating.

At the end of Q1 2022, 78 hedge funds were long Micron Technology, Inc. (NASDAQ:MU) with stakes worth $3.42 billion. This is compared to 83 hedge funds in the previous quarter with stakes of $5.51 billion. The hedge fund sentiment for the stock is negative.

As of March 31, Matrix Capital Management is the largest shareholder in Micron Technology, Inc. (NASDAQ:MU) with stakes worth $311.56 million.

You can also take a look at 10 Best Semiconductor Stocks to Buy for 2022 and 10 Semiconductor Stocks With Growth Potential.

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