We just covered
Grok’s Latest Stock Portfolio in 2026: Elon Musk’s AI Chatbot’s Top 10 Stock Picks. Micron Technology (NASDAQ:MU) ranks #2 (see Grok’s Latest Stock Portfolio in 2026: AI Assistant’s Top 5 Stock Picks).
Number of Hedge Funds: 137
Micron Technology (NASDAQ:MU) is benefiting from surging demand for high-bandwidth memory (HBM), DRAM, and CPU-side memory systems driven by AI workloads. The stock is up 700% over the past year, but still trades at 11x forward P/E and a 0.07x PEG ratio.
Companies are lining up to buy from Micron. Why? Its high-bandwidth memory (HBM) is used in AI accelerators and GPUs. HBM offers much higher bandwidth than standard DRAM. Server DRAM (including LPDRAM) and high-capacity modules for data centers. Micron’s 2026 HBM production is sold out under binding long-term contracts with locked-in pricing and volumes. This gives unprecedented revenue visibility.
Micron Technology (NASDAQ:MU) is a confirmed supplier for NVIDIA’s Vera Rubin platform, specifically shipping high-volume HBM4 and SOCAMM2, while also ramping its advanced 1-gamma DRAM node, which is expected to become the majority of its DRAM bit mix by mid-2026.
Capex is expected to exceed $25B in 2026, signaling aggressive expansion but also creating a barrier to entry since advanced fabs cost $15B+ and take years to build.
Heartland Mid Cap Value Fund stated the following regarding Micron Technology, Inc. (NASDAQ:MU) in its Q1 2026 investor letter:
While we acknowledge the potential of MU as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy.
Disclosure: None. Follow Insider Monkey on Google News.
