SanDisk's 5,000% Rally Didn't Stop This Analyst: Is $2,100 Next? - SanDisk (NASDAQ:SNDK)
SanDisk's 5,000% rally remains the anchor of a high-velocity story in the memory sector, and this week the stock rose again. Since the February 2025 spin‑off from Western Digital, the shares have surged more than 5,000%, and they rose about 8% on Thursday to roughly $1,818. A $10,000 stake at the spin‑off would be worth more than $500,000 today, underscoring the magnitude of the rally. Bank of America's Wamsi Mohan reiterated a Buy rating and lifted the price target from $1,550 to $2,100, signaling roughly 20% upside from current levels. At the core of SanDisk's outlook is memory pricing, with NAND flash demand outrunning supply and prices expected to climb through 2026 and into the first half of 2027, while meaningful new capacity isn’t likely before 2028 or 2029. The firm models fiscal 2027 revenue around $44 billion and earnings near $188 a share, up from prior estimates, with fiscal 2026 revenue forecast to grow about 176%. SanDisk has formalized new multi-year contracts that lock margins and revenue, including five agreements with three carrying minimum revenue of $42 billion and over $11 billion in guarantees plus $400 million in prepayments. More than a third of 2027 revenue is already committed. The stock trades around 23x this year’s earnings and about eightx next year’s, with a $2,100 target built on roughly 10x 2027 earnings; risks include potential NAND price declines from oversupply and competition from Chinese suppliers in a cyclical memory market.
