Micron Rockets 12%, SanDisk Leaps 10% as Tight Memory Supply Fuels Parabolic AI Trade
Micron Technology shares rose 12% and SanDisk shares climbed 10% on Tuesday due to a structural memory shortage narrative driving institutional rotation into hardware suppliers tied to AI infrastructure spending. Both stocks have surged significantly year-to-date, with Micron up 125% and SanDisk up 478%.
Memory chip stocks surged on Tuesday, with Micron Technology shares up 12% to $644 and SanDisk shares climbing 10% to $1,380. The rally continues a parabolic year for memory names, driven by a structural memory shortage narrative and AI infrastructure spending. Micron's fiscal Q1 2026 report showed non-GAAP EPS of $4.78 and revenue of $13.64 billion, up 57% year-over-year. The company's Q2 FY2026 guidance pointed to revenue of $18.7 billion and non-GAAP EPS of $8.42. SanDisk's fiscal Q3 2026 report featured EPS of $23.41 and revenue of $5.95 billion, up 251% year-over-year. The memory supercycle is expected to continue through 2027, with NAND flash prices rising 60% in Q1 2026 and projected to increase 70-75% in the current quarter.
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