Micron Technology Inc., FCFF calculation

US$ in millions

12 months ended:	Aug 31, 2023	Sep 1, 2022	Sep 2, 2021	Sep 3, 2020	Aug 29, 2019	Aug 30, 2018
Net income (loss) attributable to Micron	(5,833)	8,687)	5,861)	2,687)	6,313)	14,135)
Net income attributable to noncontrolling interests	—)	—)	—)	23)	45)	3)
Net noncash charges	10,288)	7,739)	6,977)	6,083)	6,102)	4,919)
Change in operating assets and liabilities	(2,896)	(1,245)	(370)	(487)	729)	(1,657)
Net cash provided by operating activities	1,559)	15,181)	12,468)	8,306)	13,189)	17,400)
Interest paid, net of amounts capitalized, net of tax¹	255)	140)	160)	149)	48)	232)
Interest capitalized as part of the cost of property, plant, and equipment, net of tax²	164)	70)	62)	70)	93)	33)
Expenditures for property, plant, and equipment	(7,676)	(12,067)	(10,030)	(8,223)	(9,780)	(8,879)
Noncash acquisitions of right-of-use assets, finance leases	(508)	(309)	(395)	(107)	(119)	(84)
Free cash flow to the firm (FCFF)	(6,206)	3,015)	2,265)	195)	3,431)	8,702)

Based on: 10-K (reporting date: 2023-08-31), 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).

^{1, 2} See details »

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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 2021 to 2022 but then decreased significantly from 2022 to 2023.

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

US$ in millions

12 months ended:	Aug 31, 2023	Sep 1, 2022	Sep 2, 2021	Sep 3, 2020	Aug 29, 2019	Aug 30, 2018
Effective Income Tax Rate (EITR)
EITR¹	21.00%	9.30%	6.30%	9.40%	9.70%	25.70%
Interest Paid, Net of Tax
Interest paid, net of amounts capitalized, before tax	323)	154)	171)	165)	53)	312)
Less: Interest paid, net of amounts capitalized, tax²	68)	14)	11)	16)	5)	80)
Interest paid, net of amounts capitalized, net of tax	255)	140)	160)	149)	48)	232)
Interest Costs Capitalized, Net of Tax
Interest capitalized as part of the cost of property, plant, and equipment, before tax	208)	77)	66)	77)	103)	44)
Less: Interest capitalized as part of the cost of property, plant, and equipment, tax³	44)	7)	4)	7)	10)	11)
Interest capitalized as part of the cost of property, plant, and equipment, net of tax	164)	70)	62)	70)	93)	33)

Based on: 10-K (reporting date: 2023-08-31), 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).

¹ See details »

² 2023 Calculation
Interest paid, net of amounts capitalized, tax = Interest paid, net of amounts capitalized × EITR
= 323 × 21.00% = 68

³ 2023 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
= 208 × 21.00% = 44

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

Selected Financial Data (US$ in millions)
Enterprise value (EV)	127,296)
Free cash flow to the firm (FCFF)	(6,206)
Valuation Ratio
EV/FCFF	—
Benchmarks
EV/FCFF, Competitors¹
Advanced Micro Devices Inc.	206.46
Analog Devices Inc.	27.80
Applied Materials Inc.	21.25
Broadcom Inc.	32.83
Intel Corp.	—
KLA Corp.	26.54
Lam Research Corp.	24.49
NVIDIA Corp.	75.23
ON Semiconductor Corp.	57.89
Qualcomm Inc.	16.96
Texas Instruments Inc.	99.46
EV/FCFF, Sector
Semiconductors & Semiconductor Equipment	105.62
EV/FCFF, Industry
Information Technology	41.82

Based on: 10-K (reporting date: 2023-08-31).

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.

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

	Aug 31, 2023	Sep 1, 2022	Sep 2, 2021	Sep 3, 2020	Aug 29, 2019	Aug 30, 2018
Selected Financial Data (US$ in millions)
Enterprise value (EV)¹	80,554)	55,097)	76,581)	57,090)	49,156)	46,728)
Free cash flow to the firm (FCFF)²	(6,206)	3,015)	2,265)	195)	3,431)	8,702)
Valuation Ratio
EV/FCFF³	—	18.28	33.81	292.39	14.33	5.37
Benchmarks
EV/FCFF, Competitors⁴
Advanced Micro Devices Inc.	225.41	38.82	43.41	126.98	169.58	—
Analog Devices Inc.	25.61	23.12	39.16	27.12	21.68	16.04
Applied Materials Inc.	17.40	19.06	26.22	22.52	18.91	9.96
Broadcom Inc.	28.53	14.74	19.47	16.54	15.04	13.02
Intel Corp.	—	—	16.94	11.08	17.39	—
KLA Corp.	19.99	19.05	26.29	18.70	20.92	14.15
Lam Research Corp.	17.99	24.03	24.02	25.91	9.83	10.36
NVIDIA Corp.	142.90	78.07	69.47	41.65	27.92	—
ON Semiconductor Corp.	67.36	20.67	19.86	33.03	46.88	—
Qualcomm Inc.	11.61	18.18	17.47	30.89	14.91	22.53
Texas Instruments Inc.	90.39	27.05	24.23	27.67	20.75	—
EV/FCFF, Sector
Semiconductors & Semiconductor Equipment	61.21	34.74	26.16	22.06	18.29	—
EV/FCFF, Industry
Information Technology	34.25	27.01	27.93	24.12	19.69	—

Based on: 10-K (reporting date: 2023-08-31), 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).

¹ See details »

² See details »

³ 2023 Calculation
EV/FCFF = EV ÷ FCFF
= 80,554 ÷ -6,206 = —

⁴ Click competitor name to see calculations.

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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