Micron Technology Inc. (NASDAQ:MU)

The financial ratios for the analyzed periods demonstrate discernible fluctuations and trends that reflect changing market valuations and underlying financial performance.

Price to Earnings (P/E) Ratio

The P/E ratio exhibits significant volatility over the periods reported. Starting at 21.8, it initially rises to a peak of 32.41 before declining sharply to values below 10 by mid-2022. Following this low point, the ratio increases again to a high of 43.16, then experiences a steep surge to 145.72 in early 2025, indicating a period of elevated market expectations or potentially lower earnings. Towards the latest periods, it stabilizes around the mid-20s, suggesting normalization after prior volatility.

Price to Operating Profit (P/OP) Ratio

This ratio mirrors the P/E ratio's pattern with variation corresponding to shifts in operating profitability relative to market price. Beginning around 19.51, it escalates to 29, then falls markedly to near 5.31, indicating improved operating profit margins or depressed stock prices. Afterward, it ascends back above 30, followed by a drastic rise to 86.94 and a subsequent decrease to lower twenties in the latest periods. The fluctuations suggest sensitivity to operating earnings performance and market pricing.

Price to Sales (P/S) Ratio

The P/S ratio shows a gradual upward trend overall. Starting at 2.73, it moves progressively higher through the periods, reaching peaks above 6 by 2024, implying that the market valuation has increased faster than sales growth. There is some retracement towards the end of the timeframe to the 3–4 range before rising again, highlighting periods of fluctuating investor optimism relative to revenue generation.

Price to Book Value (P/BV) Ratio

The P/BV ratio fluctuates within a moderate band with some upward momentum over time. From an initial ratio near 1.5, it peaks around 2.77 to 3.32 during 2023 and early 2024 before varying between 2.07 and 3.89 in later periods. This suggests that investor valuations relative to the company's net asset value have increased, possibly reflecting improved asset efficiency or growth expectations.

Overall, the data indicate periods of heightened market valuation sensitivity, particularly noticeable in the P/E and P/OP ratios which display marked volatility. The elevated peaks suggest phases of either strong investor optimism or compressed earnings and operating profits. Meanwhile, the upward trends in P/S and P/BV ratios imply growing valuation multiples against sales and book values. These patterns collectively reflect dynamic market perceptions and operational performance fluctuations throughout the reporting periods.

The financial data reveals several notable trends over the observed quarters in terms of share price, earnings per share (EPS), and price-to-earnings (P/E) ratio.

Share Price (US$):

The share price experienced considerable volatility throughout the periods. Starting at $55.06 in late 2019, it saw an initial decline to $44.79 before recovering and peaking at $95.65 by December 2021. Subsequently, the price declined sharply to around $49.43 by December 2022, indicating a significant downward adjustment. From early 2023 onward, the share price trended strongly upward, reaching a high of $187.83 by August 2025. This upward momentum suggests renewed investor confidence and improved market sentiment in the latter periods.

Earnings Per Share (EPS) (US$):

EPS values began to be reported starting in mid-2020, showing a steady increase from 2.41 in May 2020 to a peak of 8.99 by September 2022. This rise indicates solid earnings growth during that interval. However, the EPS experienced a significant drop thereafter, turning negative from June 2023 through May 2024, with the nadir at -6.23 in November 2023. The negative EPS during this period suggests the company faced challenges leading to reduced profitability or losses. Following this downturn, EPS began recovering in the last reported quarters, reaching 7.61 by August 2025, which points towards a strong earnings rebound.

Price-to-Earnings (P/E) Ratio:

The P/E ratio mirrored the trends in share price and EPS with notable fluctuations. Initially absent, it appeared at 21.8 in May 2020 and increased to a peak of 32.41 by June 2021, reflecting growth expectations. Afterward, it declined steadily to a low around 5.97 by September 2022, aligned with the peak EPS and reduced share price, indicating high earnings relative to price. There is a gap in data for some quarters, followed by an extremely elevated P/E of 145.72 in November 2024, which could stem from lower or recovering EPS juxtaposed with a still high share price. Toward the end of the dataset, the P/E stabilized around the low twenties, consistent with the recovering EPS and share price.

Overall, the data indicates a period of growth in earnings and share value up to late 2022, followed by a significant earnings downturn impacting profitability and market valuation, before a recovery phase commencing in early 2024. The share price volatility appears correlated with changes in earnings performance and market valuation multiples throughout the period under review.

The financial data reflects notable fluctuations in share price, operating profit per share, and the price-to-operating profit ratio over the observed periods.

Share Price

The share price exhibited significant volatility throughout the timeline. Initially, it declined from $55.06 to a low of approximately $44.79, before progressively increasing to a peak of $95.65 by December 2021. Subsequently, the price experienced a marked decline, reaching levels near $49.43 by the end of 2022. From early 2023 onwards, the share price displayed a generally upward trend, culminating in a substantial rise to $187.83 by August 2025, indicating strong market performance in the latest quarters.

Operating Profit Per Share

Operating profit per share data became available starting May 2020, showing a steady increase from $2.70 to a maximum of $10.09 by September 2022. However, beginning in late 2022 and continuing through much of 2023 and early 2024, the operating profit per share declined sharply, turning negative and reaching a trough of approximately -$6.04. This was followed by a recovery phase, with values turning positive again and rising to $8.70 by August 2025. This pattern suggests a period of operational difficulty or increased costs around 2023, with subsequent improvement.

Price-to-Operating Profit Ratio (P/OP)

The price-to-operating profit ratio showed substantial variability parallel to the changes in the other metrics. Initially, it ranged widely, from a high of approximately 29 early in the measurements to a low near 5.31 by late 2022. Thereafter, the ratio became inconsistent, with some extremely high values such as 34.54 and 86.94, coinciding with periods of negative operating profit, which distorts this valuation measure. In the most recent periods, the ratio stabilized around values between 17 and 22, reflecting improved alignment between share prices and operational earnings.

Overall, the data indicates a cycle of growth followed by operational challenges and subsequent recovery. The initial growth phase from mid-2020 to late 2022 is characterized by rising profits and share prices, whereas the downturn in 2023 aligns with a decline in profitability. The subsequent recovery suggests effective management responses or market conditions improving. The stock price generally follows the trajectory of operating profitability, albeit with periods of higher valuation multiples when profits were low or negative, indicating investor speculation or other external factors affecting market perception.

The share price exhibited notable fluctuations over the analyzed periods. Initially, a decline was observed from late 2019 to early 2020, followed by a recovery and a significant increase reaching a peak in late 2021. Subsequent movements showed both decreases and increases, culminating in a pronounced upward trend towards the most recent periods analyzed, with share prices ultimately rising substantially by the end of the timeframe.

Sales per share data, available from mid-2020 onwards, displayed a generally upward trajectory with some volatility. After an initial rise until late 2021, sales per share experienced a decline in subsequent quarters over 2022 and early 2023. However, from mid-2023 onward, the trend reversed and sales per share resumed growth, achieving progressively higher levels through to 2025.

The price-to-sales (P/S) ratio demonstrated considerable variability across the quarters. Initially reported values showed an increase, peaking at a notably high level in early 2024. This upward trend suggests market valuation outpaced the growth in sales per share during that period. Thereafter, the P/S ratio decreased for a few quarters but subsequently increased again in the final quarters of the dataset, indicating fluctuating investor sentiment or valuation adjustments relative to sales performance.

Overall, the data reflects a dynamic financial environment with share prices and market valuations responding to underlying sales performance but also influenced by other factors causing volatility. Periods of sales growth were generally accompanied by higher share prices, although the P/S ratio variations imply the market's valuation of sales changed independently at times, suggesting shifts in market expectations or external influences impacting investor perceptions.

Share Price

Initial decline followed by recovery and peak in late 2021, subsequent volatility and strong upward trend towards 2025.

Sales Per Share

General growth from mid-2020 with mid-cycle dips in 2022–early 2023, then resumption of growth through 2025.

Price-to-Sales Ratio (P/S)

Marked fluctuations with an early peak in early 2024, decreases thereafter, then renewed increases in the final periods.

The analysis of the financial data over the observed periods reveals several notable trends and fluctuations, particularly focusing on the share price, book value per share (BVPS), and the price-to-book value ratio (P/BV).

Share Price

The share price exhibited considerable volatility throughout the periods. Initially, it declined from 55.06 US$ in late 2019 to a low around 44.79 US$ by early 2020, then experienced a gradual rise, peaking at 95.65 US$ by the end of 2021. Following this peak, there was a sharp decrease, reaching approximately 49.43 US$ by late 2022. Subsequently, the share price demonstrated a strong recovery and sustained upward trend through 2023 and into 2024, reaching a high of approximately 187.83 US$ by late 2025. This overall pattern indicates periods of both market hesitation and confidence, with a significant increase in valuation towards the end of the timeline.

Book Value per Share (BVPS)

BVPS showed a steady and consistent upward trajectory across the full timeframe. Starting at 32.86 US$ in late 2019, it increased incrementally to reach 48.26 US$ by late 2025. There were minor fluctuations around 2022 and early 2023, where BVPS slightly decreased before resuming growth. The continual increase in BVPS suggests ongoing accumulation of net assets or retained earnings per share, reflecting a strengthening equity base over time.

Price-to-Book Value Ratio (P/BV)

The P/BV ratio exhibited substantial fluctuation in line with share price movements. Early periods saw a decline from 1.68 to approximately 1.15 by late 2022, indicating a reduction in market valuation relative to book value. From early 2023 onwards, the ratio rose sharply, highlighted by peaks of 3.89 by late 2025. These rising values indicate growing investor optimism and expectation of future growth exceeding the book value increment. The fluctuations in P/BV correspond closely with periods of share price volatility, reinforcing the view of market sentiment influencing valuation multiples beyond fundamental book value growth.

Overall, the data suggest that while the company’s intrinsic value as measured by BVPS steadily improved, the market valuation represented by share price and P/BV ratio experienced greater variability. This implies that external factors, market conditions, and investor sentiment played significant roles in determining the market price beyond underlying book value changes. The eventual strong increase in share price and P/BV ratio towards the latter periods likely reflects renewed investor confidence and growth expectations.