Micron & SanDisk Soar as AI Infrastructure Spending Booms

Micron Technology and SanDisk are two red-hot AI memory stocks that have delivered extraordinary rallies. Over the last month, Micron shares are up nearly 20%, while SanDisk stock has risen over 25%. In the past year, SanDisk's stock price has skyrocketed almost 700%, with Micron spiking more than 270%.

Both companies benefit from rising memory and storage demand across data centers, PCs, smartphones, and AI devices. However, their product mixes differ significantly. Micron produces both DRAM and NAND flash memory, while SanDisk is more concentrated on NAND flash storage.

The strong growth of both stocks is driven by the boom in AI infrastructure spending tied to Nvidia platforms and major cloud providers such as Microsoft, Amazon, and Alphabet. Micron's outlook for its current fiscal fourth quarter calls for approximately $50 billion in revenue, an 86% gross margin, and adjusted EPS of roughly $31.

SanDisk's momentum is equally impressive, with management expecting revenue for its current fiscal Q1 2027 of $10.3-$10.8 billion and adjusted EPS of $44-$46. The Zacks Consensus Estimate calls for FY27 revenue of $49.25 billion, up roughly 143% YoY.