Key Takeaways
- SNDK reached an all-time peak of $807.99 on Wednesday, climbing almost 10% during the trading session
- Bernstein increased its price objective to an industry-leading $1,250 from $1,000
- Analyst Mark Newman presented an optimistic scenario projecting SNDK reaching $3,000
- The shares have climbed approximately 2,000% during the last twelve months amid rising NAND pricing and artificial intelligence demand
- Fourth quarter earnings per share projection of $25.30 significantly exceeds Wall Street consensus of $18.78
SanDisk has emerged as a market leader throughout 2026. Following Wednesday’s impressive nearly 10% rally that propelled shares to an unprecedented high of $807.99, SNDK maintained its position close to the $800 threshold during Thursday’s pre-market session.
The upward momentum followed Bernstein analyst Mark Newman’s decision to lift his price objective on the shares to an industry-topping $1,250 from $1,000, while maintaining an Outperform rating and designating it as his preferred short-term investment opportunity.
Newman’s optimistic outlook centers on the rapid acceleration of NAND flash memory pricing. His projections indicate SanDisk will deliver adjusted earnings per share of $14.18 for the fiscal third quarter concluding in March, marginally surpassing both the $13.99 analyst consensus and the company’s guidance range of $12–$14.
His fourth-quarter projection presents a particularly compelling narrative. Newman anticipates Q4 EPS reaching $25.30 — substantially above the Street’s $18.78 estimate — powered by an anticipated 40% quarter-over-quarter increase in average selling prices.
Shares have now skyrocketed roughly 2,000% throughout the previous year, propelled by escalating NAND pricing and robust demand from artificial intelligence data centers. Despite this remarkable performance, Newman contends that Wall Street continues to undervalue the company’s profit potential.
He observes that SNDK presently trades at merely 9x consensus forward earnings, beneath the 10–13x range characteristic of previous growth cycles. Relative to the Philadelphia Semiconductor Index on a price-to-earnings basis, it stands at 0.5x compared to a historical range of 0.8–1.0x.
Bernstein’s Optimistic Scenario: $3,000 Target
In a more aggressive forecast, should NAND pricing increase 75% during each of the coming two quarters — compared to the 55% and 40% projected in Bernstein’s baseline scenario — Newman envisions June-quarter EPS achieving $40.53, resulting in full-year fiscal 2027 EPS of $224.
This supports an optimistic valuation of $3,000, utilizing a 13x multiple consistent with SanDisk’s historical peak-cycle valuation range. This would constitute approximately 280% appreciation from present levels.
The baseline projection of $1,250 employs an 11x multiple on average earnings spanning fiscal years 2026–2029, which Newman calculates at $114 per share.
Artificial Intelligence Demand and Supply Chain Positioning
SanDisk’s enterprise solid-state drives are extensively deployed in AI infrastructure, and company leadership has verified its products are completely allocated through 2026. This positioning provides the organization with substantial pricing leverage, even amid potential input cost increases.
Morgan Stanley recently designated SNDK as a premier selection for the year’s second half, citing 61% revenue expansion and identifying what it characterizes as the beginning of an extended AI infrastructure demand trajectory.
Shares experienced approximately 19% decline earlier this year following Google’s introduction of TurboQuant, a memory-compression technology that concerned NAND investors. Newman dismissed these concerns, explaining the technology targets high-bandwidth memory utilized in AI inference and has minimal impact on NAND’s core storage applications.
Newman maintains that NAND pricing only began advancing significantly six to seven months ago, and the sector remains fundamentally undersupplied.
Broader Wall Street sentiment registers as Moderate Buy, featuring 11 Buy recommendations and 3 Hold ratings during the past three months. The average analyst price target of $771.54 rests slightly beneath current trading levels.
SanDisk is scheduled to announce fiscal Q3 earnings on April 30.
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