Micron Technology, a leading memory supplier, trades at a lower price-to-earnings ratio than other chip stocks due to growing demand for AI chips spilling over to its memory products. This mispricing presents an opportunity for investors, as Micron is growing earnings faster than some industry leaders like Nvidia. Wall Street analysts project Micron’s earnings to grow at a 50% annualized rate, offering more growth potential at a better price. Despite risks of oversupply, Micron’s low valuation relative to earnings may lead to more upside in the coming years.

Investors might find Micron shares attractive due to their lower valuation compared to industry peers like Nvidia and Advanced Micro Devices. Trading at just 11 times forward earnings estimates, Micron offers a favorable risk-reward trade-off with analysts expecting earnings to surge significantly in the next few years. The current demand for advanced memory products, driven by data center GPU demand, is fueling Micron’s growth potential. Despite concerns of oversupply, the sustained demand for memory products could lead to continued upside for Micron shares in the future.

Read more at Nasdaq, Inc.: The Most Undervalued Chip Stock to Own in 2026