Today's Review on Micron Technology and MIPS Technologies: The Challenges of Low PC Demand

 Today's Review on Micron Technology and MIPS Technologies: The Challenges of
                                Low PC Demand

  PR Newswire

  LONDON, January 23, 2013

LONDON, January 23, 2013 /PRNewswire/ --

Technology sector is known for its ever changing dynamics and the swinging
fortunes of its component companies. Apart from minor ripples, the sector's
biggest challenge lies in its ability to withstand the current paradigm shift
from PCs to mobile computing. StockCall research analysts have finished two
technical reports on Micron Technology Inc. (NASDAQ: MU) and MIPS Technologies
Inc. (NASDAQ: MIPS). These reports are free of charge and can be downloaded
upon registration at

The shift has not only seen the likes of Apple posting astronomical returns
for its investors, but also saw behemoths like HP and Intel cowering down.
Though, Apple retraced some of its gains recently, but it is more of a
temporary pullback than any fundamental change in the industry. PC and Mobile
computing war has also impacted semiconductor sub-sector. Micron Technology is
struggling with demand and supply mismatch in memory chip segment, due to fall
in PC demand. Despite consolidation in the sector, memory segment is still
showing oversupply and consequent fall in prices. MIPS Technologies, on the
other hand, agreed to be merged with Imagination Technologies, to create a CPU
IP powerhouse. Sign up today and access the free technical report on MIPS
Technologies at

Micron Consolidates its Position with Acquisition

Micron Technology Inc. [ Free Technical Analysis on MU ] ^[ ^(1) ^] is one of
the key players when it comes to memory products. The company is especially in
solid position with regard to DRAM and NAND markets, where its main
competitors are Samsung and Toshiba respectively. While Micron stock performed
quite poorly in 2012, things are likely to take a better turn in 2013 as the
memory market seems to have bottomed out. The market has been battered lately
due to declining PC sales as PC companies formed the biggest customer category
for DRAM memory products. Windows 8 is expected to revive PC market this year
and may provide positive impetus for Micron Technology.

The company also scored a legal victory as Rambus Inc. was barred from
demanding royalties from Micron for 12 of its patents. Micron is also
diversifying its stakes as it inked a deal with Elpida. The acquisition made
Micron the second biggest DRAM company in the world, right behind Samsung.
While Elpida went bankrupt as it was not able to stand international
competition, it will help Micron in consolidating its position. Micron's stock
has not performed well for quite some time now, but it has started 2013 on
solid footing. With a legal victory and an acquisition, the stock seems to be
poised to benefit from the possible revival of PC market. On the other hand,
Micron will also benefit from the rise of tablet and smartphone computing as
these devices use mobile DRAMs.

MIPS Attracts Bidding War

MIPS Technologies stock grew more than 40% in 2012 and ended its year by
becoming center of bidding war between CEVA Inc. and Imagination Technologies
Group. The company deals in semiconductor designing and agreed to be bought
for $60 million by Imagination. However, it received a higher bid of $75
million from CEVA Inc. After one more round of one-upping, MIPS was finally
snagged by Imagination for $100 million, valuing its stock at $7.94 a piece,
so at its current market price, the stock has very limited upside. The deal
will be finalized in the first quarter of 2013.


1.Micron Technology Inc. Technical Analysis [ ]

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