Will AI create the world’s first trillionaire?\u00a0Our team just released a report on the one little-known company, called an “Indispensable Monopoly” providing the critical technology Nvidia and Intel both need.\u00a0Continue \u00bb<\/a><\/p>\n You can’t create AI chips<\/a> without memory chips. More investors have noticed, prompting the sudden surge in Sandisk shares, but the company’s financial results support the recent enthusiasm.<\/p>\n Sandisk generated $5.95 billion in revenue for the third quarter of fiscal year 2026. That’s a big deal because it represents 97% sequential growth and is a 251% year-over-year improvement. Sandisk has delivered multiple quarters of substantial sequential growth that is reminiscent of Nvidia’s high sequential growth early in the AI boom.<\/p>\n Sandisk anticipates $8 billion in Q4 revenue at the midpoint, which indicates high sequential growth is here to stay. It’s the exact news Sandisk needed to deliver to extend its parabolic rally.<\/p>\n Even though AI has been at the center of investors’ attention for multiple years, it is still early. That sounds hard to believe, but the numbers back it up. Nvidia, the ringleader of the AI boom, reported 20% sequential revenue growth in Q4 of its fiscal year 2026, ended Jan. 25, and boosted full-year sales by 65%. Q1 guidance also suggests a double-digit sequential growth rate at the midpoint.<\/p>\n Companies with trillion-dollar market caps are usually more mature than smaller companies that haven’t tapped into much market share and are starting to expand. However, Nvidia’s growth shows that AI chip demand is still surging, and that has a direct impact on the demand for Sandisk’s memory chips.<\/p>\n It’s not just Nvidia. Fellow AI chipmaker Broadcom delivered 29% year-over-year revenue growth in the first quarter of its fiscal year 2026, which ended on Feb. 1. The continued demand for AI chips comes as hyperscalers turn their AI investments into profits. Alphabet may have been the biggest winner in this regard, with 63% year-over-year growth in Google Cloud sales steering the company to enticing Q1 results.<\/p>\n This backdrop is critical when assessing Sandisk stock. Big tech is still ramping up its AI spending. That’s translating into more AI chip sales, and every AI chip needs multiple memory chips to operate. Sandisk has been producing higher revenue growth than companies like Micron Technology, suggesting that it is gaining market share at a faster rate.<\/p>\n Should you buy stock in Sandisk right now? <\/p>\n Before you buy stock in Sandisk, consider this:<\/p>\n The Motley Fool Stock Advisor analyst team just identified what they believe are the\u00a010 best stocks<\/a> for investors to buy now\u2026 and Sandisk wasn\u2019t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.<\/p>\n Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation,\u00a0you\u2019d have $471,827!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you\u2019d have $1,319,291!*<\/p>\n Now, it\u2019s worth noting\u00a0Stock Advisor\u2019s total average return is 986% \u2014 a market-crushing outperformance compared to 207% for the S&P 500.\u00a0Don’t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built by individual investors for individual investors.<\/p>\n See the 10 stocks \u00bb<\/a><\/p>\n *Stock Advisor returns as of May 9, 2026. <\/p>\n Marc Guberti<\/a> has positions in Broadcom. The Motley Fool has positions in and recommends Alphabet, Broadcom, Micron Technology, and Nvidia. The Motley Fool has a disclosure policy<\/a>.<\/p>\n![\"The](\"https:\/\/www.europesays.com\/ai\/wp-content\/uploads\/2026\/05\/e7d7992127fbaff0e99a71db0c7a82a2.jpeg\")
Image source: Getty Images. AI is still in the early innings <\/p>\n