By Zacks Equity Research
Publication Date: 2026-05-27 06:38:00
For Immediate Release
Chicago, IL – May 27, 2026 – Today, Zacks Investment Ideas feature highlights Nasdaq 100 Index ETF QQQ, Micron MU, SanDisk SNDK, NVIDIA NVDA, MicroStrategy MSTR and Qualcomm QCOM.
Memory Supercycle: Why MY & SNDK Are Set for a Grand Finale
The current technology bull market is nothing short of spectacular. Despite inflation, trade, and geopolitical concerns, the tech-heavy Nasdaq 100 Index ETF is up a staggering 30% from its late March lows and is working on its ninth weekly gain out of the previous 10.
What’s driving tech stocks? The AI boom. The current AI boom is witnessing unprecedented spending, with AI big tech hyperscalers spending ~$750 million in capital expenditures (CAPEX) this year on AI data centers and infrastructure (with expectations for more than $1 trillion a year in 2027 and 2028).
Memory Sector Experiences Supercycle
The breathtaking AI spending has reverberated throughout the U.S. and global economies. However, certain industries have benefited more than others. Thus far, the biggest beneficiaries of the AI buildout have been high-performance memory companies like Micron and SanDisk.
AI models mostly operate on NVIDIA’s best-in-breed graphics processing units (GPUs). These GPUs take complex pieces of data, train them, and make sense of them. These AI models (like large language models) rely on billions of algebraic variables called weights. To process a single prompt, the GPU must continuously…