Prediction: This Memory Stock Will Soar 165% in 3 Years (Hint: It's not Micron or Sandisk)
Western Digital stock has soared big time over the past year, and the good news is it could jump even higher amid the memory shortage.
Overview
Artificial intelligence (AI) data centers require substantial storage capacity, which isn't surprising, as they must train large language models (LLMs) with billions or trillions of parameters using enormous amounts of data.
Also, running inference applications means that data centers need to be ready with massive data sets to fall back upon and answer user queries. Not surprisingly, AI data centers have been cornering the global storage supply, creating a major shortage of hard-disk drives (HDDs) and NAND flash-based solid-state drives (SSDs).
Details
Micron Technology and Sandisk have been the major beneficiaries of the booming demand for storage solutions in AI data centers. Both semiconductor stocks have been enjoying healthy growth in revenue and earnings, driven by the solid demand for their NAND flash storage chips. However, there is another company that sells data storage devices and has clocked outstanding gains of 465% over the past year.
Source
Originally published at www.fool.com.