This British PC maker’s stock is surging more than 36% on the back of an AI-fuelled frenzy
British computing darling, Raspberry Pi Holdings, saw its shares skyrocket by as much as 42% on Tuesday (17 February), closing the day up 36% at 415 pence.
This surge capped a two-day rally that boosted the stock by almost 50% from its recent lows, pushing the company’s market value to approximately £803 million.
The Cambridge-based firm, known for its credit-card-sized computers starting at around £30, has long been a favorite among hobbyists, educators, and developers.
But recent online buzz has highlighted its potential in AI applications, particularly clustering multiple Pis to host efficient, customizable chatbots like Grok, which integrates with apps such as WhatsApp and calendars while using minimal resources.
The frenzy echoes the ‘meme stock’ phenomena of years past, fuelled by social media chatter about using the affordable single-board computers to run a low-cost AI agent.
Memory issues
The rally comes despite earlier warnings from Raspberry Pi about volatility in memory pricing, driven by AI demand that is diverting supply to data centres.
In January, the company flagged ‘significant uncertainty’ for 2026 earnings due to these pressures, causing shares to fall 7.5% at the time. Yet, the AI narrative has overshadowed these concerns, with analysts noting the stock’s undervaluation relative to its potential in edge computing and AI democratisation.
Raspberry Pi went public in June 2024 at a £540 million valuation, peaking at 697.50p before slumping to a 52-week low of 253.80p. As of 17 February, the shares remain about 40% below their all-time high but have rebounded strongly on this AI-fuelled optimism.
