By Justin Pope
Publication Date: 2026-03-31 14:30:00
A couple of years ago, when Nvidia began churning out quarters of triple-digit revenue growth, it almost seemed too good to be true. In hindsight, it was the beginning of the artificial intelligence (AI) boom, and investors who stayed on the sidelines probably wish they hadn’t.
History doesn’t repeat, but it often rhymes. Funnily enough, it didn’t take long. Micron Technology (MU +0.92%) recently turned in an eye-popping earnings report, with sales exploding to more than $23.8 billion for the quarter, up from just $8 billion a year ago.
Is this likely to continue, and does Micron stock still have upside?
Image source: The Motley Fool.
Why Micron’s business is going bananas
Micron is selling high-bandwidth memory (HBM), used on Nvidia’s GPU AI accelerator chips. The HBM is crucial because AI chips need sufficient, fast memory to process as much data as they do, as quickly as they do. More advanced AI chips require more and faster memory. Micron is seeing a similar tidal wave of demand, similar to Nvidia earlier in the data center boom.
This isn’t a fluke, either. The AI boom has created a global memory shortage. Micron noted in its recent earnings call that it can currently meet only one-half to two-thirds of customer demand, indicating the backlog will likely continue to grow. Nvidia’s Blackwell AI architecture is still going strong, and its successor, Rubin, has entered full production in anticipation of launch.
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