TLDR
- Sandisk (SNDK) stock has jumped 166% in 2026 as AI infrastructure drives flash memory demand
- Fiscal Q2 2026 revenue rose 61% to $3 billion while earnings multiplied more than five times
- Supply constraints allow Sandisk to reportedly double enterprise SSD pricing in current quarter
- Wall Street expects earnings to soar from $2.99 per share in fiscal 2025 to $39.45 in fiscal 2026
- The high-bandwidth memory market is projected to triple from $35 billion to $100 billion by 2028
Sandisk stock has delivered exceptional returns in 2026 with a 166% gain. The flash memory producer capitalizes on AI-driven demand that’s reshaping the semiconductor landscape.
The company’s transformation echoes Nvidia’s rise during the AI revolution. Sandisk built its reputation on consumer flash drives but now focuses on enterprise solid-state drives and NAND flash memory for hyperscale data centers.
This strategic shift is generating impressive financial results. Second-quarter fiscal 2026 revenue hit $3 billion, marking 61% year-over-year growth. Earnings during the period increased more than fivefold.
Supply Crunch Creates Pricing Opportunity
A severe NAND flash supply shortage underpins the company’s performance. AI data centers consume enormous quantities of flash storage to support machine learning workloads and datasets. Generative AI devices also require elevated storage specifications.
Sandisk operates its fabrication facilities at maximum capacity. Despite full utilization, demand outstrips available supply. Hyperscalers compete aggressively for capacity, accepting premium pricing to secure inventory.
The company plans to reportedly double prices for enterprise 3D NAND solid-state drives this quarter. Industry sources indicate 2026 NAND flash production is completely allocated, suggesting sustained pricing power.
Fiscal Q3 guidance points to earnings of $13 per share at the midpoint. This represents a dramatic reversal from the $0.30 per share loss recorded in the comparable year-ago period.
Massive Market Expansion Ahead
The addressable market for high-bandwidth memory reached $35 billion in 2025. Micron Technology forecasts 40% annual growth through 2028, projecting a $100 billion market.
Sandisk generated $9 billion in trailing revenue. The gap between current performance and market size indicates substantial growth runway.
Major competitors include Micron Technology, Samsung, and SK Hynix. Yet Sandisk’s early traction in AI infrastructure mirrors Nvidia’s initial GPU advantages.
Big tech companies are deploying $680 billion in capital expenditures this year. GPU investments attract headlines, but memory storage requirements scale proportionally with AI workload expansion.
Strong Financial Outlook
Analysts project fiscal 2026 earnings at $39.45 per share versus $2.99 in fiscal 2025. Looking further ahead, fiscal 2027 estimates reach $73.69 per share.
The company posted $7.55 per share in earnings through the first half of fiscal 2026. Wall Street consensus anticipates $31.90 per share during the second half concluding in June.
Sandisk trades at 15 times forward earnings. The Nasdaq-100 index carries a forward multiple of 24.7 by comparison.
Applying a 20 times earnings multiple to calendar 2026 estimates of $70.07 per share yields a $1,401 price target. This calculation suggests 158% upside potential from current levels.
The stock closed at $625.78 with a $92 billion market cap. Daily volume totaled 758,000 shares compared to a 16 million share average.
Sandisk’s manufacturing capacity utilization and pricing dynamics position the company for sustained growth. The convergence of AI infrastructure spending and supply constraints creates a favorable environment for continued stock appreciation as fiscal 2026 progresses.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
