Sandisk Corporation $SNDK Stock: Assenagon Asset Management S.A. Increases Stake

Key Points

• Assenagon Asset Management increased its Sandisk stake by 33.3% in the third quarter, adding 207,051 shares and bringing its holdings to 828,900 shares valued at approximately $1.44 billion.
• Analyst sentiment remains positive, with a consensus “Moderate Buy” rating and an average price target of $2,120.65. Sandisk also beat quarterly earnings expectations, reported 371.6% year-over-year revenue growth, and authorized a $14 billion share-repurchase program.
• Despite strong AI-related storage demand and substantial contracted revenue, risks include intense memory-chip cyclicality, potential Chinese competition and oversupply, and a broad technology-sector selloff; insiders have also sold shares under pre-arranged trading plans.

Assenagon Asset Management S.A. lifted its holdings in shares of Sandisk Corporation (NASDAQ:SNDK - Free Report) by 33.3% during the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 828,900 shares of the data storage provider's stock after purchasing an additional 207,051 shares during the quarter. Sandisk accounts for about 1.1% of Assenagon Asset Management S.A.'s portfolio, making the stock its 15th biggest position. Assenagon Asset Management S.A. owned about 0.57% of Sandisk worth $1,442,195,000 as of its most recent SEC filing.

Other institutional investors have also modified their holdings of the company. BlackRock Inc. acquired a new position in shares of Sandisk in the 2nd quarter valued at approximately $23,408,732,000. Situational Awareness LP increased its position in shares of Sandisk by 42.4% during the second quarter. Situational Awareness LP now owns 2,495,344 shares of the data storage provider's stock worth $5,673,739,000 after acquiring an additional 743,325 shares in the last quarter. Evergreen Quality Fund GP Ltd. acquired a new stake in shares of Sandisk during the fourth quarter worth $255,848,000. Wellington Management Group LLP lifted its position in Sandisk by 71.2% in the 2nd quarter. Wellington Management Group LLP now owns 1,066,886 shares of the data storage provider's stock valued at $2,425,811,000 after acquiring an additional 443,714 shares in the last quarter. Finally, SG Americas Securities LLC lifted its position in Sandisk by 108.4% in the 1st quarter. SG Americas Securities LLC now owns 944,503 shares of the data storage provider's stock valued at $600,081,000 after acquiring an additional 491,359 shares in the last quarter.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on SNDK shares. Sanford C. Bernstein reaffirmed an "outperform" rating and issued a $3,000.00 target price (up from $1,700.00) on shares of Sandisk in a research note on Thursday, August 6th. Raymond James Financial lifted their price target on Sandisk from $1,470.00 to $2,000.00 and gave the company an "outperform" rating in a research note on Thursday, August 6th. Argus upgraded Sandisk from a "hold" rating to a "buy" rating and set a $1,600.00 price target on the stock in a report on Monday, August 10th. Mizuho upped their price objective on Sandisk from $1,875.00 to $2,050.00 and gave the stock an "outperform" rating in a research report on Tuesday, October 6th. Finally, Jefferies Financial Group reaffirmed a "buy" rating and set a $1,400.00 price objective (up from $1,000.00) on shares of Sandisk in a research report on Thursday, August 6th. Three investment analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $2,120.65.

Sandisk Trading Down 0.6%

Shares of SNDK opened at $1,394.83 on Friday. Sandisk Corporation has a 12 month low of $136.29 and a 12 month high of $2,354.39. The firm has a fifty day simple moving average of $1,601.86 and a 200 day simple moving average of $1,498.34. The stock has a market capitalization of $201.59 billion, a price-to-earnings ratio of 19.13, a PEG ratio of 0.14 and a beta of 5.23.

Sandisk (NASDAQ:SNDK - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The data storage provider reported $39.25 EPS for the quarter, topping the consensus estimate of $33.28 by $5.97. The firm had revenue of $8.96 billion for the quarter. Sandisk had a net margin of 56.47% and a return on equity of 87.84%. The company's quarterly revenue was up 371.6% compared to the same quarter last year. During the same period last year, the firm earned $0.29 earnings per share. Sandisk has set its Q1 2027 guidance at 44.000-46.000 EPS. As a group, research analysts predict that Sandisk Corporation will post 208.94 earnings per share for the current fiscal year.

Sandisk announced that its Board of Directors has initiated a share repurchase program on Wednesday, August 5th that authorizes the company to buy back $14.00 billion in outstanding shares. This buyback authorization authorizes the data storage provider to buy up to 6.6% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's board believes its stock is undervalued.

Insider Buying and Selling

In related news, EVP Alper Ilkbahar sold 4,712 shares of the company's stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $1,540.58, for a total transaction of $7,259,212.96. Following the sale, the executive vice president owned 44,134 shares in the company, valued at approximately $67,991,957.72. This represents a 9.65% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO David Goeckeler sold 33,841 shares of the stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $1,574.21, for a total value of $53,272,840.61. Following the transaction, the chief executive officer directly owned 382,865 shares of the company's stock, valued at $602,709,911.65. This trade represents a 8.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 77,899 shares of company stock worth $121,159,122 in the last three months. Insiders own 0.29% of the company's stock.

Sandisk News Roundup

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Sandisk has reportedly secured at least $93.9 billion in expected revenue through multiyear contracts, with financial guarantees that could protect the company if customers fail to meet their commitments. This provides meaningful revenue visibility and supports the long-term investment case. SanDisk Stock Is Falling on AI Fears. Its $93.9 Billion Contract Book Tells Another Story
• Positive Sentiment: Zacks Research upgraded Sandisk to “strong buy” from “hold,” citing the company’s growth prospects. Analysts have also identified Sandisk as a buy-the-dip opportunity because of strong AI-related storage demand and favorable longer-term industry growth. AI Memory Chip Selloff Looks Overblown
• Positive Sentiment: A partnership with Meta Platforms to provide data-storage options for Meta VR Glasses adds a potential avenue for future demand, although it has not prevented the broader sector selloff. SanDisk Stock Drops Despite Meta Partnership
• Neutral Sentiment: Investor Cathie Wood remains cautious on memory-chip companies, arguing that industry cycles are “vicious” and that Chinese rivals could eventually pressure margins. Her view highlights the risk that Sandisk’s recent margin expansion may prove temporary. Cathie Wood Says the Memory Chip Trend Is Up but the Cycles Are Vicious
• Negative Sentiment: Chinese semiconductor maker CXMT’s reported plans to expand into server memory have intensified fears of future oversupply, lower pricing, and weaker margins for Sandisk and its peers. Memory Stocks Extend Selloff on China Competition Fears
• Negative Sentiment: A broad technology and AI-stock selloff has pulled memory makers lower, with roughly $1 trillion in market value reportedly erased from major companies since October 2. Hotter-than-expected U.S. inflation has added pressure by increasing interest-rate concerns. Chip Meltdown Hits Memory Makers

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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