Micron and Sandisk crushed the market because of the memory boom, and Penguin Solutions may join them.
Micron and Sandisk crushed the market because of the memory boom, and Penguin Solutions may join them.
There's always a second chance in the stock market. Investors who missed out on Apple and Amazon in the early 2000s had access to picks like Tesla and Nvidia in the 2010s. Even in this past decade, stocks like Palantir minted new millionaires.
Micron (MU -5.63%) and Sandisk (SNDK -6.85%) have built substantial wealth for early investors over the past year. Opportunities like these will exist in the 2030s and beyond, but there's one growth stock that looks attractive right now and is riding the same tailwinds as the memory chipmakers. Here's why Penguin Solutions (PENG -7.70%) is worth monitoring.
This memory play is growing faster than people realize
The front-line number, 68% year-over-year revenue growth in the company's fiscal 2026 fourth quarter, is impressive. However, the metrics are actually more compelling if you look at the company's key growth segment.
PENG Penguin Solutions
$57.10-$4.76 (-7.70%)
NASDAQ · As of 4:00 PM ET 10/16/26
Penguin Solutions reports three segments each quarter: advanced computing, integrated memory, and optimized LED. Integrated memory is the most important segment, since it includes key memory products for AI data centers. Its DRAM modules are the top seller, while Penguin Solutions' CXL memory modules are surging in demand as a recognized solution to the memory wall bottleneck.
CXL enables GPUs to access a memory pool. Without this setup, a single AI chip can crash or slow down an AI model if it runs out of memory. Since CXL solves this problem and Penguin Solutions is one of the few companies already delivering this technology, it has a massive tailwind.
Averytin News Financial update.