Goldman Sachs Reaffirms Neutral Rating for Micron Technology Amid Strong Earnings

Goldman Sachs has reaffirmed its Neutral rating for Micron Technology's stock after the company's quarterly results exceeded Wall Street expectations. The investment firm noted that Micron delivered a strong quarter, with revenue results 7% above Deutsche Bank's estimates.

Micron's gross margin results came in slightly below projections, but Goldman Sachs attributed this to supply chain agreements and improving visibility. The company has signed 10 additional long-term agreements, bringing the total to approximately 35% of expected revenue through fiscal year 2030.

The agreements contain structured pricing frameworks, which could help increase the valuation multiple investors are willing to pay for the stock at peak earnings. Goldman Sachs noted that the industry is accelerating supply additions to meet customer demand, but meaningful market slack is not expected until 2028 at the earliest.