Better Artificial Intelligence (AI) Stock: Micron Technology vs. Sandisk

The Motley Fool

by newsfeedback@fool.com (Harsh Chauhan)

February 26, 2026

AI-Generated Deep Dive Summary

Micron Technology (NASDAQ: MU) and Sandisk (NASDAQ: SNDK) have both experienced significant stock growth in 2026, with gains of 46% and 169%, respectively. This surge is driven by booming demand for memory chips, fueled by artificial intelligence (AI) applications in data centers. Both companies are benefiting from a supply-demand imbalance, leading to rising prices and strong revenue and earnings growth. The rapid adoption of AI across industries has created an insatiable appetite for memory chips, particularly in data centers. This demand is so intense that manufacturers like Micron and Sandisk are struggling to keep up, resulting in price increases and higher profits. While both companies are well-positioned to capitalize on this trend, they cater to slightly different segments of the market. Micron specializes in DRAM and NAND flash memory solutions, which are critical for high-performance computing and AI applications. On the other hand, Sandisk focuses on solid-state drives (SSDs) and specialized storage solutions that optimize data center efficiency for AI workloads. Investors weighing their options between these two AI stocks face a decision influenced by factors like revenue growth rates, stock performance, and valuations. While Micron’s slower but steady gains may appeal to those seeking stability, Sandisk’s explosive growth suggests it is the hotter play right now. However, both companies are subject to the same underlying risks, including fluctuating memory chip prices and competition from other manufacturers. As AI continues to expand, both firms are likely to remain key players in this rapidly evolving sector. For finance enthusiasts, understanding the dynamics of AI-driven demand for memory chips is crucial. The tech industry’s shift toward AI-intensive applications creates long-term growth opportunities for companies like Micron

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Originally published on The Motley Fool on 2/26/2026