NEOS Investment Management LLC Increases Stock Position in Sandisk Corporation $SNDK

Key Points

• NEOS Investment Management increased its Sandisk stake by 414.2% in the second quarter, bringing its holdings to 109,085 shares valued at approximately $248 million. Several other institutional investors also initiated or expanded positions.
• Sandisk reported a significant earnings beat, with quarterly EPS of $39.25 versus expectations of $33.28, while revenue surged 371.6% year over year to $8.96 billion. Analysts maintain a broadly positive view, with an average “Buy” rating and a $1,998.14 target price.
• The company authorized a $14 billion share-buyback program covering up to 6.6% of outstanding shares. Key risks include elevated valuation and volatility, potential pricing pressure from growing Chinese memory competition, and modest insider selling.

NEOS Investment Management LLC raised its stake in shares of Sandisk Corporation (NASDAQ:SNDK - Free Report) by 414.2% in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 109,085 shares of the data storage provider's stock after acquiring an additional 87,871 shares during the period. Sandisk makes up 0.9% of NEOS Investment Management LLC's holdings, making the stock its 20th biggest holding. NEOS Investment Management LLC owned approximately 0.07% of Sandisk worth $248,030,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds have also made changes to their positions in the stock. Fortune 45 LLC lifted its holdings in shares of Sandisk by 3.6% in the 2nd quarter. Fortune 45 LLC now owns 437 shares of the data storage provider's stock worth $994,000 after acquiring an additional 15 shares during the last quarter. High Net Worth Advisory Group LLC acquired a new stake in Sandisk in the 2nd quarter valued at approximately $227,000. Carter Financial Group INC. purchased a new stake in Sandisk in the second quarter valued at approximately $282,000. Paragon Private Wealth Management LLC purchased a new stake in Sandisk in the second quarter valued at approximately $282,000. Finally, Continuum Advisory LLC acquired a new position in Sandisk during the second quarter worth $59,000.

Wall Street Analyst Weigh In

SNDK has been the subject of several research analyst reports. Jefferies Financial Group restated a "buy" rating on shares of Sandisk in a research report on Thursday, August 6th. Zacks Research upgraded Sandisk from a "hold" rating to a "strong-buy" rating in a report on Thursday, July 30th. Weiss Ratings raised Sandisk from a "hold (c)" rating to a "buy (b-)" rating in a research note on Thursday, August 27th. Susquehanna lowered their target price on Sandisk from $3,250.00 to $3,050.00 and set a "positive" rating for the company in a report on Thursday, July 23rd. Finally, Morgan Stanley lifted their target price on Sandisk from $1,100.00 to $1,750.00 and gave the company an "overweight" rating in a research report on Wednesday, June 3rd. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, Sandisk has an average rating of "Buy" and an average target price of $1,998.14.

Sandisk Stock Performance

SNDK stock opened at $1,554.99 on Friday. The company's 50 day moving average price is $1,550.34 and its 200 day moving average price is $1,281.92. The firm has a market capitalization of $227.68 billion, a price-to-earnings ratio of 21.33, a PEG ratio of 0.15 and a beta of 5.17. Sandisk Corporation has a fifty-two week low of $55.55 and a fifty-two week high of $2,354.39.

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

Sandisk announced that its board has authorized a share buyback plan on Wednesday, August 5th that allows the company to repurchase $14.00 billion in outstanding shares. This repurchase authorization allows the data storage provider to purchase up to 6.6% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company's board of directors believes its shares are undervalued.

Key Stories Impacting Sandisk

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Upward earnings revisions support the shares. Zacks reiterated a Rank #1 (Strong Buy) for SNDK, citing a strengthening earnings outlook. The view follows Sandisk’s recent earnings beat, 371.6% year-over-year revenue growth and strong fiscal 2027 guidance. Bullish EPS Revisions Back IBKR, SNDK, and ROKU
• Positive Sentiment: AI data-center demand remains a major bullish driver. Analysts continue to identify Sandisk as a way to participate in rising demand for enterprise storage, NAND flash and other memory infrastructure supporting AI workloads. 4 Stocks to Buy Now to Ride the AI Data Center Spending Boom
• Positive Sentiment: Management’s scheduled presentations at the Citi Global TMT Conference and Goldman Sachs Communacopia + Technology Conference could provide fresh commentary on demand, pricing and the company’s outlook. Sandisk Announces Participation in Investor Conferences
• Neutral Sentiment: Recent commentary presents a wide range of expectations, including bullish price targets and comparisons highlighting Sandisk’s rapid revenue expansion. However, the stock’s elevated valuation and high volatility leave it sensitive to changes in the memory cycle and investor sentiment. SanDisk SNDK Stock Prediction
• Negative Sentiment: Growing Chinese competition is the key downside risk. Chinese memory manufacturers are gaining DRAM and NAND market share, raising concerns about future pricing pressure, reduced share and lower margins for Sandisk. Micron, SanDisk Lag Tech Rally as China Grabs Memory Market Share
• Negative Sentiment: Insider Bernard Shek sold approximately $915,360 of SNDK under a pre-arranged Rule 10b5-1 plan. The sale reduced his holdings by about 2%, limiting its significance but adding a modest sentiment headwind. Insider Selling: Sandisk Insider Sells Stock

Insider Buying and Selling at Sandisk

In other news, insider Bernard Shek sold 600 shares of Sandisk stock in a transaction on Tuesday, September 1st. The shares were sold at an average price of $1,525.60, for a total transaction of $915,360.00. Following the completion of the sale, 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 document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 1,800 shares of company stock valued at $2,865,456. 0.21% of the stock is currently owned by company insiders.

About Sandisk

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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