Enterprise Value to FCFF (EV/FCFF)

Free Cash Flow to The Firm (FCFF)
Interest Paid, Net of Tax
EV to FCFF Ratio, Current
EV to FCFF Ratio, Historical

Free Cash Flow to The Firm (FCFF)

Micron Technology Inc., FCFF calculation

US$ in millions

12 months ended:	Sep 1, 2022	Sep 2, 2021	Sep 3, 2020	Aug 29, 2019	Aug 30, 2018	Aug 31, 2017
Net income attributable to Micron	8,687)	5,861)	2,687)	6,313)	14,135)	5,089)
Net income attributable to noncontrolling interests	—)	—)	23)	45)	3)	1)
Net noncash charges	7,739)	6,977)	6,083)	6,102)	4,919)	4,461)
Change in operating assets and liabilities	(1,245)	(370)	(487)	729)	(1,657)	(1,398)
Net cash provided by operating activities	15,181)	12,468)	8,306)	13,189)	17,400)	8,153)
Interest paid, net of amounts capitalized, net of tax¹	140)	160)	149)	48)	232)	458)
Interest capitalized as part of the cost of property, plant, and equipment, net of tax²	70)	62)	70)	93)	33)	7)
Expenditures for property, plant, and equipment	(12,067)	(10,030)	(8,223)	(9,780)	(8,879)	(4,734)
Noncash acquisitions of right-of-use assets, finance leases	(309)	(395)	(107)	(119)	(84)	(813)
Free cash flow to the firm (FCFF)	3,015)	2,265)	195)	3,431)	8,702)	3,071)

Based on: 10-K (reporting date: 2022-09-01), 10-K (reporting date: 2021-09-02), 10-K (reporting date: 2020-09-03), 10-K (reporting date: 2019-08-29), 10-K (reporting date: 2018-08-30), 10-K (reporting date: 2017-08-31).

^{1, 2} See details »

Item	Description	The company
FCFF	Free cash flow to the firm is the cash flow available to the Micron Technology Inc. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made.	Micron Technology Inc. FCFF increased from 2020 to 2021 and from 2021 to 2022.

Interest Paid, Net of Tax

Micron Technology Inc., interest paid, net of tax calculation

US$ in millions

12 months ended:	Sep 1, 2022	Sep 2, 2021	Sep 3, 2020	Aug 29, 2019	Aug 30, 2018	Aug 31, 2017
Effective Income Tax Rate (EITR)
EITR¹	9.30%	6.30%	9.40%	9.70%	25.70%	2.20%
Interest Paid, Net of Tax
Interest paid, net of amounts capitalized, before tax	154)	171)	165)	53)	312)	468)
Less: Interest paid, net of amounts capitalized, tax²	14)	11)	16)	5)	80)	10)
Interest paid, net of amounts capitalized, net of tax	140)	160)	149)	48)	232)	458)
Interest Costs Capitalized, Net of Tax
Interest capitalized as part of the cost of property, plant, and equipment, before tax	77)	66)	77)	103)	44)	7)
Less: Interest capitalized as part of the cost of property, plant, and equipment, tax³	7)	4)	7)	10)	11)	—)
Interest capitalized as part of the cost of property, plant, and equipment, net of tax	70)	62)	70)	93)	33)	7)

¹ See details »

² 2022 Calculation
Interest paid, net of amounts capitalized, tax = Interest paid, net of amounts capitalized × EITR
= 154 × 9.30% = 14

³ 2022 Calculation
Interest capitalized as part of the cost of property, plant, and equipment, tax = Interest capitalized as part of the cost of property, plant, and equipment × EITR
= 77 × 9.30% = 7

Enterprise Value to FCFF Ratio, Current

Micron Technology Inc., current EV/FCFF calculation, comparison to benchmarks

Selected Financial Data (US$ in millions)
Enterprise value (EV)	63,611)
Free cash flow to the firm (FCFF)	3,015)
Valuation Ratio
EV/FCFF	21.10
Benchmarks
EV/FCFF, Competitors¹
Advanced Micro Devices Inc.	48.57
Analog Devices Inc.	26.68
Applied Materials Inc.	22.28
Broadcom Inc.	16.74
First Solar Inc.	—
Intel Corp.	—
KLA Corp.	18.79
Lam Research Corp.	27.04
NVIDIA Corp.	170.57
ON Semiconductor Corp.	21.16
Qualcomm Inc.	20.37
Texas Instruments Inc.	27.60
EV/FCFF, Sector
Semiconductors & Semiconductor Equipment	38.35
EV/FCFF, Industry
Information Technology	28.35

Based on: 10-K (reporting date: 2022-09-01).

¹ Click competitor name to see calculations.

If the company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.
Otherwise, if the company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.

Enterprise Value to FCFF Ratio, Historical

Micron Technology Inc., historical EV/FCFF calculation, comparison to benchmarks

	Sep 1, 2022	Sep 2, 2021	Sep 3, 2020	Aug 29, 2019	Aug 30, 2018	Aug 31, 2017
Selected Financial Data (US$ in millions)
Enterprise value (EV)¹	55,097)	76,581)	57,090)	49,156)	46,728)	53,377)
Free cash flow to the firm (FCFF)²	3,015)	2,265)	195)	3,431)	8,702)	3,071)
Valuation Ratio
EV/FCFF³	18.28	33.81	292.39	14.33	5.37	17.38
Benchmarks
EV/FCFF, Competitors⁴
Advanced Micro Devices Inc.	38.82	43.41	126.98	169.58	—	—
Analog Devices Inc.	23.12	39.16	27.12	21.68	16.04	36.93
Applied Materials Inc.	19.06	26.22	22.52	18.91	9.96	15.58
Broadcom Inc.	14.74	19.47	16.54	15.04	13.02	20.10
First Solar Inc.	—	—	—	—	—	—
Intel Corp.	—	16.94	11.08	17.39	15.50	—
KLA Corp.	19.05	26.29	18.70	20.92	14.15	12.19
Lam Research Corp.	24.03	24.02	25.91	9.83	10.36	11.51
NVIDIA Corp.	78.07	69.47	41.65	27.92	47.71	—
ON Semiconductor Corp.	20.67	19.86	33.03	46.88	12.66	—
Qualcomm Inc.	18.20	17.47	30.89	14.91	22.53	14.89
Texas Instruments Inc.	27.05	24.23	27.67	20.75	16.49	—
EV/FCFF, Sector
Semiconductors & Semiconductor Equipment	35.05	26.37	22.31	18.50	15.89	—
EV/FCFF, Industry
Information Technology	26.63	28.03	26.16	21.64	18.26	—

¹ See details »

² See details »

³ 2022 Calculation
EV/FCFF = EV ÷ FCFF
= 55,097 ÷ 3,015 = 18.28

⁴ Click competitor name to see calculations.

Valuation ratio	Description	The company
EV/FCFF	Enterprise value to free cash flow to the firm is whole company valuation indicator.	Micron Technology Inc. EV/FCFF ratio decreased from 2020 to 2021 and from 2021 to 2022.

Micron Technology Inc. (NASDAQ:MU)

Enterprise Value to FCFF (EV/FCFF)

Free Cash Flow to The Firm (FCFF)

Interest Paid, Net of Tax

Enterprise Value to FCFF Ratio, Current

Enterprise Value to FCFF Ratio, Historical