Hsbc Holdings PLC Raises Stake in Sandisk Corporation $SNDK

Key Points

• HSBC increased its Sandisk stake by 9.8% during the second quarter, bringing its holdings to 220,574 shares valued at approximately $498.4 million. Other major institutions, including BlackRock, State Street and Geode Capital, also increased or initiated positions.
• Sandisk reported strong quarterly results, with EPS of $39.25 beating estimates and revenue rising 371.6% year over year to $8.96 billion. The company also authorized a $14 billion share-buyback program, covering up to 6.6% of outstanding shares.
• Analysts remain broadly bullish, with a consensus “Buy” rating and average price target of $1,998.14, but investors face risks from the stock’s elevated valuation, memory-market cyclicality and growing Chinese competition.

Hsbc Holdings PLC grew its holdings in shares of Sandisk Corporation (NASDAQ:SNDK - Free Report) by 9.8% in the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 220,574 shares of the data storage provider's stock after buying an additional 19,760 shares during the quarter. Hsbc Holdings PLC owned 0.15% of Sandisk worth $498,377,000 at the end of the most recent quarter.

A number of other large investors have also modified their holdings of SNDK. BlackRock Inc. acquired a new stake in Sandisk in the second quarter valued at approximately $23,408,732,000. State Street Corp grew its position in shares of Sandisk by 20.7% during the fourth quarter. State Street Corp now owns 5,281,522 shares of the data storage provider's stock worth $1,253,728,000 after buying an additional 904,933 shares in the last quarter. Geode Capital Management LLC grew its position in shares of Sandisk by 44.9% during the fourth quarter. Geode Capital Management LLC now owns 3,655,860 shares of the data storage provider's stock worth $866,310,000 after buying an additional 1,133,276 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its stake in shares of Sandisk by 31.3% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 3,478,002 shares of the data storage provider's stock worth $825,608,000 after buying an additional 828,332 shares during the last quarter. Finally, Morgan Stanley increased its stake in shares of Sandisk by 7.2% in the fourth quarter. Morgan Stanley now owns 2,970,361 shares of the data storage provider's stock worth $705,105,000 after buying an additional 199,545 shares during the last quarter.

Sandisk Price Performance

Sandisk stock opened at $1,740.00 on Friday. The company has a market cap of $254.77 billion, a PE ratio of 23.87, a P/E/G ratio of 0.17 and a beta of 5.17. The company has a fifty day moving average price of $1,543.33 and a two-hundred day moving average price of $1,285.12. Sandisk Corporation has a 12 month low of $63.74 and a 12 month high of $2,354.39.

Sandisk (NASDAQ:SNDK - Get Free Report) last released its earnings results on Wednesday, August 5th. The data storage provider reported $39.25 earnings per share for the quarter, beating the consensus estimate of $33.28 by $5.97. The firm had revenue of $8.96 billion during the quarter. Sandisk had a net margin of 56.47% and a return on equity of 87.84%. The firm's revenue for the quarter was up 371.6% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.29 EPS. Sandisk has set its Q1 2027 guidance at 44.000-46.000 EPS. Equities research analysts anticipate that Sandisk Corporation will post 208.92 earnings per share for the current year.

Sandisk declared that its Board of Directors has approved a share buyback plan on Wednesday, August 5th that authorizes the company to repurchase $14.00 billion in shares. This repurchase authorization authorizes the data storage provider to purchase up to 6.6% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's leadership believes its stock is undervalued.

Sandisk News Summary

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: AI-driven memory demand is the main catalyst. Nvidia’s reported $12.9 billion acquisition of Hugging Face reinforced expectations that expanding AI data centers will require significantly more NAND storage. SanDisk rose alongside Micron and other AI-related semiconductor stocks. SanDisk Shares Surge Following Nvidia’s Hugging Face Deal
• Positive Sentiment: Analysts see substantial upside. Lynx Research set a $2,450 target for SNDK, while other bullish research points to accelerating NAND pricing, supply-and-demand advantages and strong AI-related growth. Zacks also maintained a Rank #1, or Strong Buy, view. Lynx Research Memory Stock Price Targets
• Positive Sentiment: SanDisk’s latest results provide fundamental support: earnings exceeded estimates, revenue rose 371.6% year over year, and management guided to $44–$46 in fiscal first-quarter 2027 EPS. The company’s $14 billion share-repurchase authorization may further support the stock.
• Neutral Sentiment: The broader semiconductor group is strong, but macro conditions remain mixed. A hot employment report pushed Treasury yields and rate-hike expectations higher, creating volatility for high-growth technology stocks. SanDisk will present at Citi’s and Goldman Sachs’ technology conferences on September 8–9, potentially providing additional guidance. SanDisk Investor Conference Participation
• Negative Sentiment: Investors continue to face risks from the memory industry’s cyclicality, elevated valuation and rising Chinese competition. Progress by China’s CXMT and other domestic producers could pressure SanDisk’s pricing and market share. A company insider also sold $915,360 of shares under a pre-arranged Rule 10b5-1 plan, although the sale was relatively small compared with the remaining holding. China Memory Market Share Concerns

Insider Activity at Sandisk

In other news, insider Bernard Shek sold 600 shares of Sandisk stock in a transaction dated Tuesday, September 1st. The shares were sold at an average price of $1,525.60, for a total value of $915,360.00. Following the completion of the transaction, the insider directly owned 29,884 shares of the company's stock, valued at approximately $45,591,030.40. The trade was a 1.97% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 1,800 shares of company stock valued at $2,865,456. Insiders own 0.21% of the company's stock.

Analyst Upgrades and Downgrades

A number of research analysts have commented on SNDK shares. Argus upgraded shares of Sandisk from a "hold" rating to a "buy" rating in a research note on Monday, August 10th. Morgan Stanley boosted their target price on shares of Sandisk from $1,100.00 to $1,750.00 and gave the stock an "overweight" rating in a research report on Wednesday, June 3rd. Bank of America upped their target price on shares of Sandisk from $2,100.00 to $2,500.00 and gave the company a "buy" rating in a research note on Wednesday, July 1st. Sanford C. Bernstein reaffirmed an "outperform" rating on shares of Sandisk in a research report on Thursday, August 6th. Finally, Royal Bank Of Canada lifted their price target on Sandisk from $1,300.00 to $1,600.00 and gave the stock a "sector perform" rating in a research note on Friday, August 14th. Three analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Buy" and a consensus price target of $1,998.14.

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.

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