Sandisk vs. Micron: Which AI Memory Stock Is the Better Buy After Their Monster Runs?
Written by Daniel Sparks for The Motley Fool -> An AI-driven memory shortage has pushed chip prices higher, lifting both stocks in 2026. Sandisk has locked in multiyear NAND supply contracts reportedly worth tens of billions of dollars. Micron's DRAM and high-bandwidth memory
An AI-driven memory shortage has pushed chip prices higher, lifting both stocks in 2026.
Sandisk has locked in multiyear NAND supply contracts reportedly worth tens of billions of dollars.
Micron's DRAM and high-bandwidth memory business is its biggest profit engine.
Few corners of the market have run up as sharply as memory chips. Shares of Sandisk (NASDAQ: SNDK) have soared more than 700% in 2026 as of this writing, while Micron Technology (NASDAQ: MU) has more than tripled this year and recently crossed $1 trillion in market value. Both have climbed for the same reason: an artificial intelligence (AI) build-out so hungry for storage and memory that supply can't keep up, pushing prices for NAND flash and dynamic random access memory (DRAM) sharply higher.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
In its fiscal third quarter of 2026 (the period ended April 3, 2026), the flash specialist's revenue jumped 97% from the prior quarter and 251% from a year earlier, to $5.95 billion. Non-GAAP (adjusted) earnings per share reached $23.41, up from $6.20 in fiscal Q2.
Powering its growth, Sandisk's data center revenue climbed 233% sequentially.
What may matter more for a notoriously cyclical business is how much of that demand Sandisk has nailed down. Fortunately, it has signed five multiyear supply agreements that lock in firm customer commitments, covering more than a third of its fiscal 2027 output and backed by over $11 billion in enforceable financial guarantees.
