Micron stock price target slashed but bullish rating affirmed at Wedbush, citing ‘extremely limited’ downside

Shares of Micron Technology Inc. MU, -0.80% edged up 0.1% in premarket trading, after Wedbush analyst Matt Bryson cut his price target by 24%, but remained bullish, saying the semiconductor company appears to be “better positioned” even as adversity grows. Bryson said chip-market conditions have worsened since Micron warned in early August of a revenue shortfall, as demand as fallen more than expected and memory prices have dropped “precipitously.” Bryson cut his stock price target to $65 from $85, but he reiterated the outperform rating he’s had on the stock (MU) since February, citing valuation. “[W]e see extremely limited downside for Micron from current stock levels,” Bryson wrote in a note to clients. “Specifically, MU has typically bottomed around book value with MU trading just ~10% above book value today.” The stock has tumbled 46.2% year to date through Friday, while the PHLX Semiconductor Index SOX, +0.43% has sunk 39.0% and the S&P 500 SPX, +0.23% has shed 22.5%.