Shape memory nanocomposites are excellent smart materials which can switch between a variable temporary shape and their original shape upon exposure to external stimuli such as heat, light, electricity, magnetic fields, moisture, chemicals, pH, etc. Numerous nanofillers have been introduced in shape memory polymers such as carbon nanotubes, graphene, nanodiamonds, carbon nanofibers, etc. Among nanocarbons, graphene has attracted research interest for the development of shape memory polymer/graphene nanocomposites. Graphene is a unique one-atom-thick two-dimensional nanosheet of sp2-hybridized carbon atoms. Graphene has been used as an effective nanofiller in shape memory polymeric nanocomposites owing to its remarkable electrical conductivity, flexibility, strength, and heat stability. Thermoplastics as well as thermoset matrices have been used to form the shape memory nanomaterials with graphene nanofiller. In shape memory polymer/graphene nanocomposites, their shape has been fixed above the transition temperature and then transformed to the original shape through an external stimulus. The inclusion of graphene in nanocomposites can cause fast switching of their temporary shape to their original shape. Fine graphene dispersion, matrix−nanofiller interactions, and compatible interface development can lead to high-performance shape memory graphene-derived nanocomposites. Consequently, this review focuses on an important class of shape memory graphene-based nanocomposites. The fabrication, physical properties, and shape memory actuation of polymer/graphene nanocomposites are discussed. The stimuli-responsive polymer/graphene nanocomposites mostly revealed heat-, electricity-, and light-induced effects. The inclusion of graphene enhanced the physical/covalent linking, shape recovery, shape fixity, flexibility, and crystallization effects in the polymers. Furthermore, potential applications of these materials are observed in the aerospace/automobile industries, civil engineering, and biomaterials.