AI Infrastructure Plays: Micron and SoundHound AI Seen as Undervalued After Tech Dip

Despite a nearly 9% rebound in the Nasdaq Composite since late March, several artificial intelligence (AI) stocks remain discounted, offering potential value for long-term investors. While the broader tech sector has recovered from a brief correction, a disparity in price action has left specific hardware and software providers trading below their recent peaks. Micron Technology is currently trading approximately 12% below its March 18 high. The memory chip giant is benefiting from a significant supply-demand imbalance in memory chips. Market research from TrendForce predicts a 63% increase in dynamic random-access memory (DRAM) prices and a 75% spike in NAND flash pricing this month. Consequently, analysts forecast an earnings increase of nearly 600% in the current fiscal year, followed by a 70% increase next year. Similarly, SoundHound AI has seen its shares slide 42% this year, bringing its valuation down to 16 times sales, compared to 27 times at the end of 2025. The company reported a 99% revenue increase last year to $169 million and secured over 100 new deals in the final quarter of 2025, expanding its voice AI footprint in automotive and retail sectors. These opportunities come amid a broader trend of AI integration. Business adoption of AI rose to 18.2% in mid-January and is projected to reach 22.1% within the next six months. Furthermore, PwC forecasts that AI will contribute an additional 15 percentage points of growth to global GDP by 2035, providing a strong macro backdrop for these infrastructure and service providers.