Put Options on MU on 7/3/2023

Micron Technology, Inc. (MU) designs, develops, manufactures, and sells memory and storage products worldwide.

The company operates through four segments: Compute and Networking Business Unit, Mobile Business Unit, Embedded Business Unit, and Storage Business Unit.

It provides memory and storage technologies comprises DRAM products, which are dynamic random access memory semiconductor devices with low latency that provide high-speed data retrieval; NAND products that are non-volatile and re-writeable semiconductor storage devices; and NOR memory products, which are non-volatile re-writable semiconductor memory devices that provide fast read speeds under the Micron and Crucial brands, as well as through private labels. 

On June 28th, MU reported a 3rd Quarter May 2023 loss of $1.43 per share on revenue of $3.8 billion. The consensus estimate was a loss of $1.58 per share on revenue of $3.7 billion.   Revenue fell 56.6% compared to the same quarter a year ago.

The company said it expects a fourth quarter non-GAAP loss of $1.26 to $1.12 per share on revenue of $3.70 billion to $4.10 billion. The current consensus estimate is a loss of $1.01 per share on revenue of $4.01 billion for the quarter ending August 31, 2023.

Lower share prices are expected.

Entry Point: $63.11

Trading Range: $48.43 to $74.76

Trade Buy 1 July $63.50 Put at $1.95 For a net debit of $1.95 Profit/Loss Analysis Breakeven at $61.55 Maximum profit is unbounded Maximum loss is ($195.00) at strike of $64.00 Closing Summary Sold 1 July $63.50 Put at $0.00

Position closed on 7/28/2023 at price of $0.00 with a -100.00% loss in 25 days.

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