Wedbush Reaffirms "Outperform" Rating for Sandisk (NASDAQ:SNDK)

Key Points

• Wedbush reaffirmed its “Outperform” rating on Sandisk and set a $2,000 price target, implying approximately 25.6% upside from the current price.
• Sandisk reported a strong quarter, with EPS of $39.25 exceeding estimates of $33.28 and revenue rising 371.6% year over year to $8.96 billion. The company also authorized a $14 billion share-repurchase program, covering up to 6.6% of outstanding shares.
• Analyst sentiment remains broadly positive, with a consensus “Buy” rating and average target of $1,983.36, though the stock’s high beta of 5.20 and concerns about memory-price cyclicality highlight elevated volatility and execution risks.

Sandisk (NASDAQ:SNDK - Get Free Report)'s stock had its "outperform" rating reissued by Wedbush in a research note issued on Friday,Benzinga reports. They presently have a $2,000.00 price objective on the data storage provider's stock. Wedbush's target price suggests a potential upside of 25.64% from the stock's current price.

SNDK has been the topic of a number of other reports. Susquehanna lowered their price target on shares of Sandisk from $3,250.00 to $3,050.00 and set a "positive" rating on the stock in a report on Thursday, July 23rd. Raymond James Financial reissued an "outperform" rating and set a $1,470.00 target price on shares of Sandisk in a research report on Friday, May 1st. Morgan Stanley raised their target price on shares of Sandisk from $1,100.00 to $1,750.00 and gave the company an "overweight" rating in a research note on Wednesday, June 3rd. Cantor Fitzgerald reissued an "overweight" rating and issued a $2,900.00 price objective on shares of Sandisk in a research report on Monday. Finally, Melius Research set a $2,350.00 price target on Sandisk in a research note on Monday, May 18th. 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.com, the stock currently has a consensus rating of "Buy" and a consensus target price of $1,983.36.

Sandisk Price Performance

Shares of SNDK opened at $1,591.82 on Friday. The firm has a market capitalization of $235.73 billion, a price-to-earnings ratio of 21.64, a PEG ratio of 0.13 and a beta of 5.20. Sandisk has a 1-year low of $42.82 and a 1-year high of $2,354.39. The company has a 50-day moving average of $1,666.23 and a 200 day moving average of $1,177.84.

Sandisk (NASDAQ:SNDK - Get Free Report) last issued its earnings results on Wednesday, August 5th. The data storage provider reported $39.25 EPS for the quarter, topping analysts' consensus estimates of $33.28 by $5.97. The business 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 business's revenue was up 371.6% compared to the same quarter last year. During the same period last year, the business posted $0.29 earnings per share. Sandisk has set its Q1 2027 guidance at 44.000-46.000 EPS. On average, equities analysts anticipate that Sandisk will post 208.92 earnings per share for the current fiscal year.

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

Insiders Place Their Bets

In other Sandisk news, EVP Alper Ilkbahar sold 2,000 shares of the company's stock in a transaction on Monday, June 1st. The shares were sold at an average price of $1,756.58, for a total value of $3,513,160.00. Following the sale, the executive vice president directly owned 52,677 shares of the company's stock, valued at approximately $92,531,364.66. This represents a 3.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Bernard Shek sold 600 shares of Sandisk stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $1,162.16, for a total value of $697,296.00. Following the transaction, the insider owned 30,915 shares of the company's stock, valued at $35,928,176.40. The trade was a 1.90% decrease in their position. 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 3,800 shares of company stock worth $6,504,856 in the last quarter. Company insiders own 0.21% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the stock. BlackRock Inc. acquired a new stake in shares of Sandisk during the 2nd quarter worth approximately $23,408,732,000. State Street Corp acquired a new stake in shares of Sandisk during the 3rd quarter valued at about $491,053,000. Arrowstreet Capital Limited Partnership purchased a new position in shares of Sandisk in the 3rd quarter valued at about $297,293,000. Norges Bank purchased a new position in shares of Sandisk in the 4th quarter valued at about $518,889,000. Finally, Bank of America Corp DE acquired a new position in Sandisk in the 3rd quarter worth about $190,425,000.

Trending Headlines about Sandisk

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Management presented an AI-focused storage roadmap and targets calling for approximately 80% gross margins and 50% free-cash-flow margins. The company also highlighted multi-year customer contracts and tens of billions of dollars in minimum contracted revenue, improving visibility and pricing power. SanDisk Surges 55% From its July Low: Wall Street Just Got a New Roadmap
• Positive Sentiment: Analysts remain broadly bullish. JPMorgan said additional gains may lie ahead despite SNDK’s increase of more than 500% in 2026, while Evercore ISI reiterated a Buy rating and maintained a $2,800 price target. Sandisk is up more than 500% this year. JPMorgan says there are more gains ahead
• Positive Sentiment: A broader semiconductor rebound is supporting the move. Softer-than-expected July producer-price data reduced concerns about near-term Federal Reserve tightening, while the S&P 500 reached a record close and chip stocks approached a new bull market. Soft PPI data makes these three chip stocks worth buying
• Neutral Sentiment: Sandisk’s latest quarter showed exceptional momentum, with revenue up 371.6% year over year and earnings well above estimates. However, the stock’s extreme valuation and beta of 5.20 indicate that expectations and volatility are unusually high.
• Negative Sentiment: Wedbush remains unconvinced that the Investor Day message fully resolves the company’s cyclicality. Bears argue that recent profitability has been driven more by elevated memory prices than by shipment growth, while fixed-price contracts could limit further margin expansion if the supply shortage eases. SanDisk's investor day was bullish, but Wedbush isn't completely sold on the message

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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