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Micron Technology Operating Margin %

: 34.76% (As of May. 2022)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Micron Technology's Operating Income for the three months ended in May. 2022 was $3,004 Mil. Micron Technology's Revenue for the three months ended in May. 2022 was $8,642 Mil. Therefore, Micron Technology's Operating Margin % for the quarter that ended in May. 2022 was 34.76%.

Good Sign:

Micron Technology Inc operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Micron Technology's Operating Margin % or its related term are showing as below:

MU' s Operating Margin % Range Over the Past 10 Years
Min: -7.25   Med: 19.52   Max: 49.11
Current: 34.51


MU's Operating Margin % is ranked better than
94.01% of 901 companies
in the Semiconductors industry
Industry Median: 11.42 vs MU: 34.51

Micron Technology's 5-Year Average Operating Margin % Growth Rate was 34.20% per year.

Micron Technology's Operating Income for the three months ended in May. 2022 was $3,004 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2022 was $11,177 Mil.


Micron Technology Operating Margin % Historical Data

The historical data trend for Micron Technology's Operating Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Micron Technology Annual Data
Trend Aug12 Aug13 Aug14 Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 28.86 49.11 31.57 14.28 24.35

Micron Technology Quarterly Data
Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22
Operating Margin % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.34 35.69 34.72 32.76 34.76

Competitive Comparison

For the Semiconductors subindustry, Micron Technology's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Micron Technology Operating Margin % Distribution

For the Semiconductors industry and Technology sector, Micron Technology's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Micron Technology's Operating Margin % falls into.



Micron Technology Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Micron Technology's Operating Margin % for the fiscal year that ended in Aug. 2021 is calculated as

Operating Margin %=Operating Income (A: Aug. 2021 ) / Revenue (A: Aug. 2021 )
=6747 / 27705
=24.35 %

Micron Technology's Operating Margin % for the quarter that ended in May. 2022 is calculated as

Operating Margin %=Operating Income (Q: May. 2022 ) / Revenue (Q: May. 2022 )
=3004 / 8642
=34.76 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Micron Technology  (NAS:MU) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Micron Technology Operating Margin % Related Terms

Thank you for viewing the detailed overview of Micron Technology's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Micron Technology Business Description

Micron Technology logo
Address
8000 South Federal Way, Post Office Box 6, Boise, ID, USA, 83716-9632
Micron historically focused on designing and manufacturing DRAM for PCs. The firm then expanded into the NAND flash memory market. It increased its DRAM scale with the purchase of Elpida (completed in mid-2013) and Inotera (completed in December 2016). The firm's DRAM and NAND products tailored to PCs, data centers, smartphones, game consoles, automotives, and other computing devices.
Executives
Murphy Mark J. officer: EVP & Chief Financial Officer DELPHI AUTOMOTIVE PLC 5725 DELPHI DRIVE TROY MI 48098
Beard Robert P officer: SVP, General Counsel&Secretary 8000 S. FEDERAL WAY BOISE ID 83716
Haynesworth Linnie M director 214 N TRYON STREET CHARLOTTE NC 28202
Allen Scott R. officer: CVP, Chief Accounting Officer 11690 N.W. 105TH STREET MIAMI FL 33178
Dugle Lynn A director 4803 STONECROFT BOULEVARD CHANTILLY VA 20151
Marosvari Paul officer: VP, Chief Accounting Officer 8000 S. FEDERAL WAY BOISE ID 83716
Wright Mary Ann director 250 STEPHENSON HIGHWAY TROY MI 48083
Gomo Steven J director 495 E. JAVA DRIVE SUNNYVALE CA 94089
Mccarthy Mary Pat director 2704 WEST 112TH STREET LEAWOOD KS 66211
Bokan Michael W officer: SVP, WORLDWIDE SALES 8000 S FEDERAL WAY MS 1-557 BOISE ID 83716
Zinsner David officer: SVP & Chief Financial Officer 1001 MURPHY RANCH ROAD MILPITAS CA 95035
Bhatia Manish H officer: EVP, Global Operations C/O WESTERN DIGITAL CORPORATION 5601 GREAT OAKS PARKWAY SAN JOSE CA 95119
Sadana Sumit officer: EVP & Chief Business Officer 47544 AVALON HEIGHTS TERRACE FREMONT CA 94539
Mehrotra Sanjay officer: President & CEO C/O WESTERN DIGITAL CORPORATION 3355 MICHELSON DRIVE, SUITE 100 IRVINE CA 92612
Maddock Ernest E officer: CFO & VP, Finance LAM RESEARCH 4650 CUSHING PARKWAY FREMONT CA 94538

Micron Technology Headlines

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