Sandisk (NASDAQ:SNDK) Shares Up 1.1% – Still a Buy?

Sandisk Corporation (NASDAQ:SNDK) shot up 1.1% during mid-day trading on Wednesday . The company traded as high as $1,587.86 and last traded at $1,553.40. Approximately 8,469,490 shares were traded during mid-day trading, a decline of 48% from the average session volume of 16,197,329 shares. The stock had previously closed at $1,536.87.

More Sandisk News

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Analysts and market commentators continue to identify SanDisk as a leading AI-infrastructure beneficiary, alongside NVIDIA, Micron and Lam Research. The investment case centers on rising demand for enterprise storage and memory used in AI data centers. 4 Stocks to Buy Now to Ride the AI Data Center Spending Boom
• Positive Sentiment: A bullish Seeking Alpha analysis upgraded SanDisk to Strong Buy, citing 371.6% year-over-year revenue growth, major gross-margin expansion, operating leverage and earnings that exceeded expectations. Long-term contracts and newer business models could also make results less cyclical. Sandisk: Dirt Cheap For No Good Reason
• Positive Sentiment: SanDisk was added to the Zacks Rank #1 Strong Buy list, reinforcing favorable analyst sentiment. Commentary also highlights its larger revenue base and faster recent growth compared with Arm Holdings. New Strong Buy Stocks for September 1st
• Neutral Sentiment: Some coverage argues the market is undervaluing SanDisk, while other analysis cautions that investors should not underestimate the memory industry’s cyclical nature. This creates a debate between strong near-term fundamentals and the risk that demand or pricing eventually normalizes. Sandisk: This Time, The Market Is Wrong
• Negative Sentiment: Reports that billionaire investor David Tepper exited during SanDisk’s historic rally may weigh on sentiment, particularly because the stock subsequently suffered a substantial pullback. The episode underscores profit-taking risk after the shares’ extraordinary advance. David Tepper Exited SanDisk During Its Historic Rally
• Negative Sentiment: Fresh reports of progress by China’s CXMT in AI memory chips have revived concerns about future competition and pricing pressure. Earlier trading was also affected by uncertainty over chip tariffs and a broader move away from high-risk technology stocks. China’s CXMT Reportedly Makes Major Breakthrough With New AI Memory Chip

Analyst Upgrades and Downgrades

Several research analysts have recently commented on the company. Weiss Ratings upgraded Sandisk from a “hold (c)” rating to a “buy (b-)” rating in a research report on Thursday, August 27th. Wells Fargo & Company increased their target price on Sandisk from $1,400.00 to $1,550.00 and gave the stock an “equal weight” rating in a research note on Thursday, August 13th. Zacks Research raised Sandisk from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 30th. Morgan Stanley raised their target price on Sandisk from $1,100.00 to $1,750.00 and gave the company an “overweight” rating in a report on Wednesday, June 3rd. Finally, Sanford C. Bernstein reiterated an “outperform” rating on shares of Sandisk in a research note on Thursday, August 6th. Three research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and two have given a Hold rating to the company. According to MarketBeat, Sandisk currently has an average rating of “Buy” and a consensus target price of $1,998.14.

Sandisk Stock Up 1.1%

The business has a 50-day moving average price of $1,573.20 and a two-hundred day moving average price of $1,268.88. The firm has a market cap of $227.45 billion, a PE ratio of 21.31, a price-to-earnings-growth ratio of 0.16 and a beta of 5.17.

Sandisk (NASDAQ:SNDK) last released its earnings results on Wednesday, August 5th. The data storage provider reported $39.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $33.28 by $5.97. Sandisk had a return on equity of 87.84% and a net margin of 56.47%.The firm had revenue of $8.96 billion during the quarter. During the same quarter last year, the business posted $0.29 earnings per share. The company’s revenue for the quarter was up 371.6% on a year-over-year basis. Sandisk has set its Q1 2027 guidance at 44.000-46.000 EPS. On average, equities research analysts predict that Sandisk Corporation will post 208.92 earnings per share for the current fiscal year.

Sandisk announced that its board has initiated a share repurchase plan on Wednesday, August 5th that authorizes the company to repurchase $14.00 billion in outstanding shares. This repurchase authorization authorizes the data storage provider to buy up to 6.6% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity

In other news, insider Bernard Shek sold 600 shares of Sandisk stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $1,162.16, for a total value of $697,296.00. Following the completion of the transaction, the insider owned 30,915 shares in the company, valued at approximately $35,928,176.40. This trade represents a 1.90% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.21% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. Dunhill Financial LLC acquired a new stake in shares of Sandisk in the 2nd quarter valued at $30,000. Mowery & Schoenfeld Wealth Management LLC purchased a new position in Sandisk in the second quarter valued at $32,000. Kilter Group LLC purchased a new position in Sandisk in the second quarter valued at $32,000. KERR FINANCIAL PLANNING Corp acquired a new stake in Sandisk in the second quarter valued at $34,000. Finally, Triumph Capital Management lifted its holdings in Sandisk by 220.0% during the 2nd quarter. Triumph Capital Management now owns 16 shares of the data storage provider’s stock worth $36,000 after buying an additional 11 shares during the last quarter.

Sandisk Company Profile

SanDisk Corporation offers flash storage solutions. The Company designs, develops and manufactures data storage solutions in a range of form factors using flash memory, controller, firmware and software technologies. The Company operates through flash memory storage products segment. Its solutions include a range of solid state drives (SSD), embedded products, removable cards, universal serial bus (USB), drives, wireless media drives, digital media players, and wafers and components. It offers SSDs for client computing applications, which encompass desktop computers, notebook computers, tablets and other computing devices.