10 Best Meme Stocks to Invest In

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2. Vistra (NYSE:VST)

Market Cap: $46.44 billion

Number of Hedge Fund Holders: 111

Vistra will be the preferred power supplier to a new data center venture backed by KKR, Kuwait Investment Authority and Nvidia, and the company has committed up to $1.0 billion to it. The venture, called Helix Digital Infrastructure, gives Vistra a direct line to large technology buyers that need dependable electricity.

The core business is earning more. Second-quarter adjusted EBITDA from ongoing operations reached $1,767 million, up from $1,349 million a year earlier, a gain of more than 30%. Management reaffirmed 2026 adjusted EBITDA guidance of $6.8 billion to $7.6 billion, and about 100% of expected 2026 generation was already hedged. That guidance leaves out both the pending Cogentrix acquisition and the agreements with Meta.

Vistra has signed power purchase agreements with Meta, and part of them is expected to add to 2027 earnings. Chief executive Jim Burke said the fleet was available more than 97% of the time during recent extreme heat in Texas and the PJM grid. Vistra has also bought back about $6.5 billion of its stock since late 2021.

Management’s own buying drew attention in our piece on how Vistra’s CEO bought stock after the selloff, which asked whether AI power demand is mispriced.

1. Sandisk (NASDAQ:SNDK)

Market Cap: $166.34 billion

Number of Hedge Fund Holders: 128

Sandisk’s revenue for the fiscal first quarter jumped 378% from a year earlier to $11,031 million, and management guided to $12,200 million to $12,600 million for the next quarter. Gross margin was 85.0%, which means most of each sales dollar stayed with the company.

Data center was the standout. Revenue there reached $4,802 million, up 61% from the previous quarter. Chief executive David Goeckeler said the company is executing on the strategy it laid out at its investor day, and he credited its technology leadership, customer partnerships and disciplined financial management. The aim, he said, is growing and durable free cash flow.

Sandisk also announced an 8-for-1 stock split, which it said is meant to make the shares more accessible, including to employees. Holders of record on the set date will receive seven additional shares for each share they own, and split-adjusted trading is expected to begin later this month. The company noted that the split does not change its market capitalization or anyone’s ownership percentage.

Investors who want to test the bullish case against the stock’s forward earnings multiple can read our analysis of whether Sandisk’s forward multiple already prices in a peak.

While we acknowledge the risk and potential of SNDK as an investment, we believe certain AI infrastructure stocks offer far stronger long-term potential at a much more attractive entry point. If you are looking for an AI stock more promising than SNDK that operates as a critical AI tollbooth and stands as the most important company in the world, check out our report about this must-own AI stock.

READ NEXT: Sandisk (SNDK) vs. Texas Instruments (TXN): How Much Cash-Yield Protection Does Memory Offer? and Copper, Optics, or CPO? Credo Is Positioned to Win Whichever Way It Goes

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