SanDisk Told Investors Margins Will Fall, SNDK Stock Rose 14% Anyway | Editor's Pick Stock Market News

SanDisk’s stock jumped 13.67% even after the company told investors that gross margins should fall. The article notes SanDisk’s margins were 22.5% five quarters earlier and that management previously guided investors toward about 80% gross margins through fiscal 2030, while reporting 84.6% for the quarter ended July 3 (up from 78.4% three months earlier). The new target is below those recent results, but the analysis argues it’s not a true downgrade because margins have surged from roughly 22.5% in the quarter ended March 2025 to a peak of 84.6% in the most recent quarter. The piece links the margin rise largely to higher NAND flash prices, supported by multiyear contract coverage, and highlights that eight customers have signed deals covering about half of fiscal 2027 shipments and two-thirds in fiscal 2028. Shares closed Thursday at $1,528.11.