Semiconductors and electronics · 22/36 against 28/36 checks · to 2026-09-08
MU vs NVDA.
MicronMakes memory chips: DRAM and NAND for servers, phones and PCs, a deeply cyclical business.
NVIDIADesigns the GPUs that train and run most of the world's AI models.→NVIDIA (NVDA) is 4.8 times the size of Micron (MU) at $5.44T against $1.13T, and on the filings NVIDIA passes more, 28 checks of 36 against 22.
Which passes more checks?
widest gap first→The two are furthest apart on Shareholder returns, where NVIDIA passes 4 more of the six.
| MU | NVDA | |
|---|---|---|
| Shareholder returns | 1/6 | 5/6 |
| Growth | 3/6 | 5/6 |
| Quality | 6/6 | 5/6 |
| Trend analysis | 5/6 | 6/6 |
| Value | 1/6 | 1/6 |
| Health | 6/6 | 6/6 |
| All checks | 22/36 | 28/36 |
→NVIDIA turns over $303.0B to Micron's $90.3B, 3.4 times as much. Micron keeps 55.9% of revenue as profit against 63.7% at NVIDIA.
Which hands more back to owners?
→Neither Micron nor NVIDIA pays a dividend worth the name, so what either returns to owners has to come through the share count. Both pay something nominal - under a twentieth of a percent, which rounds to nothing at this price.
| MU | NVDA | |
|---|---|---|
| Dividend yield | 0.0% | 0.0% |
| Payout ratio | 0.9% | 0.5% |
| Years of unbroken dividend | - | - |
Which is growing faster, MU or NVDA?
→Micron grew revenue faster last year, +167.0% against +83.4% at NVIDIA - 84 points apart.
| MU | NVDA | |
|---|---|---|
| Revenue (TTM) | $90.3B | $303.0B |
| Revenue growth, 1 year | +167.0% | +83.4% |
| Revenue CAGR, 3 years | - | +100.0% |
| Net income (TTM) | $50.5B | $192.9B |
| Free cash flow (TTM) | $26.2B | $127.0B |
Which keeps more of each sale?
→NVIDIA keeps more of each sale: gross margin of 74.7% against 72.6%, a gap of 2 points that flows into everything below it.
| MU | NVDA | |
|---|---|---|
| Gross margin | 72.6% | 74.7% |
| Operating margin | 65.6% | 65.2% |
| Return on equity | 50.1% | 84.2% |
Which is cheaper?
→Micron is the cheaper of the two on earnings, 22.3x against 28.7x. Against their own histories, Micron is above its 7.0x median and NVIDIA is below its 33.9x.
| MU | NVDA | |
|---|---|---|
| Share price | $1000.26 | $225.73 |
| Market cap | $1.13T | $5.44T |
| P/E | 22.3x | 28.7x |
| P/E, own median own 5-year median / own 11-year median | 7.0x | 33.9x |
| P/S | 12.5x | 18.0x |
| Free cash flow yield | 2.3% | 2.3% |
Which balance sheet is stronger?
→Micron carries much the lighter balance sheet, 0.06x of debt to equity against 0.15x - which matters most in the year a downturn arrives, not this one.
| MU | NVDA | |
|---|---|---|
| Debt / equity | 0.06x | 0.15x |
| Interest coverage | 257.6x | 426.7x |
| Cash and short-term investments | $25.0B | $71.6B |
Where they differ most
the checks behind the gapShareholder returns: NVIDIA 4 ahead
- Share count isn't climbing shares down 2.2% over 3 years
- Buybacks outpace the stock issued to staff $55.3B bought back vs $7.2B of stock compensation
- What it hands back fits inside its cash flow 48.9% vs 100.0%
- Buybacks outpace the stock issued to staff $650M bought back vs $1.2B of stock compensation
- Meaningful yield to owners (dividends and buybacks) $1.2B returned, 0.1% of market value
Growth: NVIDIA 2 ahead
- Outgrew its sector last year 83.4% vs 10.5% (sector 70th pct, n=163)
- Sustained growth beats its sector (3 years) 100.0% vs 10.3% (sector 70th pct, n=156)
- Profits grew last year 122.7% vs 0.0%