Sandisk (NASDAQ:SNDK) Stock Price Down 6.8% – Time to Sell?

Sandisk Corporation (NASDAQ:SNDK) traded down 6.8% during mid-day trading on Thursday . The company traded as low as $1,163.09 and last traded at $1,258.58. 18,960,193 shares traded hands during trading, an increase of 15% from the average session volume of 16,549,674 shares. The stock had previously closed at $1,350.50.

Sandisk News Roundup

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Fiscal Q4 results were significantly above expectations. Sandisk reported adjusted EPS of $39.25 and revenue of approximately $8.97 billion, up 371.6% year over year. Stronger pricing, higher volumes and a 437% increase in data-center revenue were driven by AI infrastructure demand. SNDK Q4 Earnings Beat Estimates, Revenues Rise on Datacenter Growth
• Positive Sentiment: AI-related demand and longer-term visibility remain supportive. Sandisk says customers are increasingly pursuing strategic, multi-year partnerships rather than short-term price negotiations. Analysts also point to long-term supply agreements, including billions of dollars in AI-related commitments, as potentially reducing NAND’s traditional boom-and-bust cycle. SanDisk CEO Discusses Strategic Customers
• Positive Sentiment: A $14 billion share-repurchase authorization provides potential support. The program allows Sandisk to repurchase up to roughly 6.6% of outstanding shares, signaling management’s confidence in cash generation and the company’s valuation. Sandisk Stock Buyback Report
• Neutral Sentiment: Fiscal Q1 2027 guidance was mixed. Sandisk forecast EPS of $44 to $46, ahead of consensus near $41.45, but revenue guidance of $10.3 billion to $10.8 billion was around or below elevated Wall Street expectations. This gap appears to be the main reason the stock fell after the earnings release. Sandisk Delivers Revenue Beat on AI Data-Center Demand
• Negative Sentiment: Margin and NAND-cycle concerns intensified. Investors questioned whether current pricing and margins can persist as supply increases and the memory market remains cyclical. Jefferies reduced its price target to $1,750 from $3,000 while retaining a Buy rating, citing margin and NAND-pricing risks. Jefferies Cuts Sandisk Price Target

Analyst Upgrades and Downgrades

Several brokerages have weighed in on SNDK. Mizuho increased their price target on Sandisk from $1,825.00 to $2,200.00 and gave the stock an “outperform” rating in a research report on Monday, June 8th. Susquehanna decreased their price objective 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. UBS Group set a $1,700.00 target price on Sandisk in a research note on Monday, May 4th. Evercore set a $2,800.00 price target on Sandisk in a research report on Thursday. Finally, Wedbush boosted their price target on Sandisk from $1,200.00 to $2,000.00 and gave the company an “outperform” rating in a report on Thursday, July 9th. Three equities research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $1,853.14.

Sandisk Stock Performance

The firm’s 50 day moving average price is $1,717.30 and its 200-day moving average price is $1,141.98. The firm has a market capitalization of $186.32 billion, a PE ratio of 43.73 and a beta of 5.20.

Sandisk (NASDAQ:SNDK) last posted its earnings results on Wednesday, August 5th. The data storage provider reported $39.25 EPS for the quarter, beating analysts’ consensus estimates of $33.28 by $5.97. Sandisk had a return on equity of 44.06% and a net margin of 34.19%.The firm had revenue of $8.96 billion for the quarter. During the same quarter last year, the business earned $0.29 earnings per share. Sandisk’s revenue was up 371.6% on a year-over-year basis. Sandisk has set its Q1 2027 guidance at 44.000-46.000 EPS. On average, equities research analysts expect that Sandisk Corporation will post 64.52 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 repurchase $14.00 billion in outstanding shares. This repurchase authorization allows the data storage provider to repurchase up to 6.6% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s management believes its shares are undervalued.

Insiders Place Their Bets

In other news, insider Bernard Shek sold 600 shares of the stock in a transaction that occurred on Monday, August 3rd. The stock was sold at an average price of $1,162.16, for a total transaction of $697,296.00. Following the transaction, the insider owned 30,915 shares in the company, valued at $35,928,176.40. This trade represents a 1.90% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Necip Sayiner sold 579 shares of Sandisk stock in a transaction on Friday, May 8th. The shares were sold at an average price of $1,503.11, for a total transaction of $870,300.69. Following the completion of the sale, the director directly owned 2,900 shares in the company, valued at $4,359,019. This represents a 16.64% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 6,825 shares of company stock valued at $10,863,593 over the last ninety days. 0.21% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Sandisk

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Valley Wealth Managers Inc. acquired a new position in shares of Sandisk during the 1st quarter worth about $25,000. Whittier Trust Co. acquired a new stake in Sandisk in the 4th quarter worth about $26,000. Greenline Wealth Management LLC purchased a new stake in Sandisk during the 4th quarter worth approximately $26,000. Chung Wu Investment Group LLC purchased a new stake in Sandisk during the 4th quarter worth approximately $27,000. Finally, IMG Wealth Management Inc. acquired a new position in shares of Sandisk during the first quarter valued at approximately $29,000.

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.