Micron Is the Best-Performing Artificial Intelligence (AI) Stock of the Past Year -- Up 318%. Can It Keep Going in 2026?

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The 318% appreciation in the memory specialist's shares during this period has been well above the gains delivered by other AI pioneers such as Nvidia, Palantir Technologies, and Broadcom.Micron's stunning surge in the past year is well deserved. The memory specialist's revenue and earnings have been supercharged by a phenomenal increase in memory prices, driven primarily by demand from AI data centers that are consuming a significant chunk of the available supply. Investors, however, may be wondering if Micron's catalyst is strong enough to help it sustain its impressive momentum in 2026.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 »That's why I will take a closer look at the memory market's dynamics and help investors determine whether Micron stock can deliver more upside this year.Image source: Micron Technology.A closer look at memory-related news shows that Micron will continue to benefit from a favorable pricing environment. UBS, for instance, expects a 62% spike in the price of dynamic random-access memory (DRAM) in the first quarter of 2026. NAND flash memory prices are expected to jump by 40% in the current quarter.Micron sells both DRAM and NAND flash chips. DRAM chips, which are used for computing purposes in data centers, smartphones, and computers, move the needle in a bigger way for the company, accounting for almost 80% of its revenue. The rest of Micron's revenue comes from the storage-focused NAND flash chips.The good news for Micron investors is that the DRAM chip shortage is expected to persist for the next 12 to 18 months. Even NAND chips are expected to be in tight supply until the middle of next year. In fact, the shortage of memory chips is so acute due to the robust AI-fueled demand that DRAM prices are expected to surge by a whopping 70% in the second quarter of 2026.Memory manufacturers are taking advantage of the supply constraints. Samsung, for instance, has reportedly increased DRAM prices by a whopping 100%. This follows a sizable 70% increase by the South Korean chip giant in January. It won't be surprising to see Micron follow a similar path and capitalize on the intense demand for AI chips from data centers.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P Futures6,668.50 +32.50 (+0.49%)Dow Futures46,787.00 +195.00 (+0.42%)Nasdaq Futures24,513.75 +119.50 (+0.49%)Russell 2000 Futures2,499.10 +18.20 (+0.73%)VIX27.19 -0.10 (-0.37%)Gold5,007.90 -53.80 (-1.06%)Trending tickersADBE Adobe Inc. 249.32 -20.46 (-7.58%)BTC-USD Bitcoin USD 72,738.93 +1,720.52 (+2.42%)XYZ Block, Inc. 59.79 -0.11 (-0.18%)ULTA Ulta Beauty, Inc. 535.72 -88.98 (-14.24%)RBRK Rubrik, Inc. 53.43 -0.59 (-1.09%)PortfolioSign in to access your portfolioSign inTop gainersNP Neptune Insurance Holdings Inc. 21.87 +3.68 (+20.23%)PAYP PayPay Corporation 21.14 +2.98 (+16.41%)VEON VEON Ltd. 50.60 +6.29 (+14.20%)KLAR Klarna Group plc 15.91 +1.29 (+8.82%)KYIV Kyivstar Group Ltd. 11.07 +0.87 (+8.53%)Top losersULTA Ulta Beauty, Inc. 535.72 -88.98 (-14.24%)MEOH Methanex Corporation 51.75 -6.31 (-10.87%)CACC Credit Acceptance Corporation 447.79 -46.21 (-9.35%)AAOI Applied Optoelectronics, Inc. 96.81 -9.38 (-8.83%)EQX Equinox Gold Corp. 14.57 -1.35 (-8.48%)Most activeNVDA NVIDIA Corporation 180.25 -2.91 (-1.59%)AAL American Airlines Group Inc. 10.30 -0.24 (-2.28%)NOK Nokia Oyj 8.24 +0.10 (+1.23%)BMNR Bitmine Immersion Technologies, Inc. 20.54 -0.01 (-0.05%)MARA MARA Holdings, Inc. 9.32 +0.56 (+6.39%)Top economic eventsEarnings eventsMy earnings eventsEarnings events