Prediction: These Will Be Micron's and Sandisk's Stock Prices by the End of 2027

There have been few better stocks to own in 2026 than Micron (NASDAQ: MU) and Sandisk (NASDAQ: SNDK). Year to date, Micron's stock has risen by nearly 300%, while Sandisk has soared by nearly 800%. After such mammoth gains, it may seem logical to conclude that they don't have much room to go higher, but if you look at product demand, growth potential, and valuation, it's clear that the previous rally was just the start.

But where will these two stocks be priced by the end of 2027?

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A memory chip shortage has led to booming business

Both Micron and Sandisk make memory chips -- vital components of every computing device, whether it's a laptop, smartphone, or data center server.

There are two primary types of memory: NAND and DRAM. NAND isn't as fast as DRAM, but it's nonvolatile and can retain information even without power. DRAM memory is far faster and provides short-term, rapid-access memory for computing devices such as GPUs.

Data centers use both types: NAND in solid-state drives (SSDs) and DRAM in computing units. However, the memory chip industry wasn't prepared for the rapidly rising demand curve that was triggered by the AI infrastructure build-out. Now, its production capacity is severely underbuilt for the massive demand that they're expecting.

With high demand and limited supply comes the ability to raise prices, which is why both Micron and Sandisk have seen their revenues and profits spike. Memory is sold out everywhere in advance of its manufacture, and until more production capacity comes online (in 2027 at the earliest for most companies), this supply crunch won't be alleviated. Moreover, even if new foundries provide some temporary relief, the reality is that data center demand continues to grow each year.

While the four largest artificial intelligence (AI) hyperscalers have said they plan to spend $650 billion on data center capital expenditures in 2026, Nvidia projects that their combined capex will grow to $1 trillion in 2027. Furthermore, Nvidia believes that global data center capital expenditures will reach $3 trillion to $4 trillion annually by 2030. If Nvidia is right, there could be far more memory chip demand over the next few years that these two can expand into, and continue to sell their wares at elevated prices.

That paints a rosy outlook picture and makes the 2027 price projections for these two appear fairly stable.

There's a huge upside ahead

Micron makes both NAND and DRAM, and it's experiencing strong growth. For its fiscal 2027 (which ends in August 2027), Wall Street analysts expect earnings per share (EPS) of $113.81. For reference, its EPS over the past 12 months was $21.18. Sandisk only makes NAND memory, but Wall Street's EPS estimates are still $183.05 for its fiscal 2027, which ends in June 2027. It only generated $28.77 in EPS over the past 12 months.

If both Micron and Sandisk trade at 20 times earnings at the end of their respective fiscal 2027s, those EPS estimates would price Micron's stock at $2,276 per share and Sandisk at $3,661 per share. That would more than double the price of Micron stock and nearly double Sandisk's. And that's only based on the figures they're expected to reach in mid-2027.

So if the AI build-out continues to accelerate as Nvidia projects, I wouldn't be surprised to see Micron top $2,500 per share and Sandisk exceed $4,000 per share before 2027 is over. And if the data center build-out lasts through 2030, these two could reach even higher levels. That makes each stock a genius buy right now.

Keithen Drury has positions in Nvidia. The Motley Fool has positions in and recommends Micron Technology and Nvidia. The Motley Fool has a disclosure policy.