The key is Micron’s stock is still about 17% higher than it was at the beginning of 2018, a little over 2 years ago. We estimate that Micron’s stock price could decline to levels of around $25 (worst-case scenario) if its revenues fall by 20% vs. FY’19, and its valuation multiple drops to 1.5x, a little over the 2018 low of 1.2x. Below, we summarize this possible downside case for Micron, which is detailed in our interactive dashboard analysis Micron Technology Downside: How Low Can Micron Technology Stock Go? This, in turn, would translate into a stock price drop of almost 50%, close to $25. The actual recovery and its timing hinge on the broader containment of the coronavirus spread.

Source: Forbes May 12, 2020 10:30 UTC