Nvidia vs. Micron: One AI Trade Is Getting Far More Expensive

Nvidia vs Micron boils down to growth versus price these days. Nvidia still carries the bigger price tag, with a Nvidia stock valuation sitting near 25 times forward earnings, while Micron trades a lot cheaper on a stock valuation basis. That gap sits right at the center of the Nvidia stock vs Micron stock debate, especially since Micron stock jumped 253.9% this year against Nvidia’s 20.7% gain, per Zacks Investment Research.

Nvidia vs Micron: Stock Valuation, AI Growth And The Better Buy

Nvidia’s Data Center Growth Keeps Climbing

Nvidia vs Micron still leans heavily on Nvidia’s data center numbers. Revenue hit a record $81.6 billion in the fiscal first quarter of 2027, up 85% year over year, and data center sales alone reached $75.2 billion, a 92% jump from the year before. Nvidia posted those figures in its own earnings release. That kind of growth explains why the Nvidia stock valuation sits so much higher than Micron’s right now. Nvidia also guided to about $91 billion in revenue for its fiscal second quarter, with results landing Aug. 26.

Jensen Huang, founder and CEO of Nvidia, had this to say:

“This was an extraordinary quarter. Demand has gone parabolic.”

Huang said this during Nvidia’s fiscal first quarter earnings call, talking up demand from cloud providers and enterprises building AI infrastructure.

Micron’s HBM Chips Are Already Sold Out

Micron’s side of the Nvidia vs Micron trade runs through HBM chips, the memory Nvidia needs for its Vera Rubin GPUs. Micron pulled in $41.5 billion in fiscal third quarter 2026 revenue, up 74% sequentially and 346% from a year earlier, with gross margin near 85%. Those numbers came straight from Micron’s earnings release. Micron has already sold out its HBM capacity through 2027, and that scarcity keeps pushing Micron stock valuation higher as pricing power builds. It has also lifted Micron’s own Micron stock forecast, with fiscal fourth quarter revenue guidance raised to $50 billion.

Sanjay Mehrotra, chairman, president and CEO of Micron Technology, stated:

“Tight conditions will persist beyond calendar 2027.”

Mehrotra said this on Micron’s fiscal third quarter earnings call, tying the shortage to AI demand and the years it takes to build new memory capacity.

Which AI Stock Looks Like The Better Buy

Nvidia vs Micron eventually turns into a straight valuation call once both companies post numbers this strong. On the Nvidia stock vs Micron stock question, Zacks Investment Research ranks Micron a 1, Strong Buy, and Nvidia a 3, Hold. Micron trades around 13.7 times forward earnings, versus roughly 24.76 times for Nvidia. Analyst Harsh Chauhan pegs Micron’s multiple even lower, near 6 times earnings, with profits expected to jump 111% in fiscal 2027. That Micron stock forecast is a big reason some analysts think Micron shares still have room to close the gap with Nvidia.

Nvidia’s Aug. 26 report will probably move both stocks, since Micron’s HBM business rides so closely on Nvidia’s chip roadmap. Right now, Nvidia vs Micron still favors Nvidia on size but not on price, and the Nvidia stock vs Micron stock trade, plus wherever the next Micron stock forecast lands, will keep hinging on how much of the gap between Nvidia and Micron stock valuation actually closes once Nvidia’s numbers are out.