Micron sounds the alarm about recession in the US

The microchip maker reported a significant drop in demand for semiconductors, and as a result it lowered its revenue forecast as well as its capital investment. your work, severely punished this year, has a 40% possibility. | It’s all about the background Tressis Eco30 محفظة WalletAdvised by The Economist.

Can Europe be independent? It depends for energy on Russia, Saudi Arabia, Iran or Algeria, and now more and more on the United States. It also needs electronic component suppliers in Asia and North America. “[Vladímir Putin] invaded [Ucrania] s Europe left in the hands of the United States. A criminal invasion, yes, but also utter stupidity, strengthens the power of the United States,” said the linguist and philosopher Noam Chomsky A few days ago in being chain.

The words of the Feds are still echoed Altiero Spinelli When he said, in 1947, “If Europeans cannot seize the opportunity [de crear una unión]The United States will increasingly be inclined to switch from a liberal alternative to an alternative to imperialism.”

Now added to the pressure of Washington pressure of Beijing. “There is a real danger that the Europeans will be caught in the middle,” he added Sino-American competitionPolitical scientist Jonathan Hackenbroich, associated with the European Council on Foreign Relations, wrote in 2020. European sovereignty It should mean being able to decide ourselves on our interests and negotiate effectively within an interconnected system with reliable countermeasures against threats and hostilities,” the expert said.

Rely on the chip

The European Union wants to increase semiconductor production in Europe so that it accounts for 20% of the global share in 2030. In the remaining 80%, there are producers such as micron technology: the largest data storage memory manufacturer in the United States.

This week the tech company gave an amount Poor forecast for the current quarter (first fiscal year 2023): 2,000 million fewer sales than analysts estimated; She reported, “Renewed fears of declining demand for personal computers and smartphones.” Bloomberg.

Inflation and recession fears — as well as a post-pandemic return to the office — have slowed device purchases, leaving memory buyers behind. Reserve unused chips. As part of its response to reduced demand, micron Reducing capital spending by 30% In the 2023 fiscal year, until the stock returns to normal. However, they expect conditions to improve from May.

After earning 9 billion euros in fiscal year 2022, Micron net profit will decrease by 60% In fiscal year 2023, up to 3.6 billion. In terms of revenue, after the historical figure for 2022, a 20% decrease is expected in 2023 to 25,300 million.

Micron, which received a buy recommendation, has lost 45% since January and It has a 40% chance of getting high., according to market consensus compiled by FactSet, which could be as high as $70 in 12 months. Thus, the P/E ratio of the American company is 6 times in 2022 and 13 times in 2023.