- New Micron (MU -0.3%) CEO Sanjay Mehrotra has a change to "change the narrative" about the company, says Susquehanna in an upbeat look at the new leadership.
- Mehrotra brings NAND experience (after running SanDisk from 1998 to last year's Western Digital (NASDAQ:WDC) buyout), which paves the way for Micron to "go up the stack" and sell more parts of a finished system rather than just the chips central to its DRAM history.
- An acquisition could help diversification as well, says analyst Mehdi Hosseini, pointing to Pure Storage (NYSE:PSTG) and noting "1) PSTG is a first-mover in the growing All-Flash Array (AFA) space with a market-leading cost structure (~65% product margins) that can be vertically integrated to extend cost leadership, 2) PSTG's expertise in firmware and system software can be leveraged to help MU strengthen its SSD product portfolio to better compete with WDC, Intel (NASDAQ:INTC), and Samsung (KS:005930)."
- A PSTG purchase could add $0.25/share to Micron earnings in 2019, Hosseini says.
- Now read: Micron Is Undervalued
Original article