Sandisk (NASDAQ:SNDK) Trading Down 3.7% – What’s Next?

Sandisk Corporation (NASDAQ:SNDK) traded down 3.7% during mid-day trading on Friday . The company traded as low as $1,184.37 and last traded at $1,212.21. 13,686,093 shares changed hands during trading, a decline of 17% from the average session volume of 16,533,930 shares. The stock had previously closed at $1,258.58.

Sandisk News Roundup

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: SanDisk reported fiscal Q4 adjusted EPS of $39.25, well above the $33.28 consensus, while revenue reached approximately $8.97 billion and increased 371.6% year over year. Data-center revenue reportedly surged 437% as AI infrastructure demand boosted pricing and volumes. SanDisk Stock Rebounds in Premarket Despite Post-Earnings Volatility
• Positive Sentiment: The board authorized a $14 billion share-repurchase program, potentially retiring up to 6.6% of outstanding shares. The buyback signals management’s confidence and could support per-share earnings. SanDisk to Buy Back $14 Billion in Shares
• Positive Sentiment: Bullish analysts argue that AI-driven storage demand, long-term customer agreements, and roughly $94 billion in minimum revenue commitments could make earnings more durable and reduce SanDisk’s traditional NAND-cycle exposure. SanDisk Won’t Be This Cheap for Long
• Neutral Sentiment: Analyst opinion is split. Some firms upgraded the stock or maintained bullish ratings, while Jefferies cut its price target to $1,750 from $3,000 because of concerns about NAND pricing and margins. Jefferies Cuts SanDisk Price Target
• Negative Sentiment: The primary reason shares decreased is that fiscal Q1 2027 revenue guidance of $10.3 billion to $10.8 billion was viewed as slightly below elevated Wall Street expectations. Investors also fear SanDisk may be giving up some near-term margin to secure longer-term strategic contracts. SanDisk Delivered a Blowout Quarter—Here’s Why the Stock Is Falling
• Negative Sentiment: After a dramatic rally, expectations and valuation are unusually high. Any slowdown in AI spending, a NAND supply increase, or weaker pricing could cause a sharp correction despite strong reported earnings.

Wall Street Analyst Weigh In

SNDK has been the topic of a number of recent analyst reports. Susquehanna decreased their price objective on 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 note on Friday, May 1st. Zacks Research upgraded Sandisk from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 30th. Bank of America upped their price target on Sandisk from $2,100.00 to $2,500.00 and gave the company a “buy” rating in a research note on Wednesday, July 1st. Finally, The Goldman Sachs Group reiterated a “buy” rating and set a $1,200.00 price target on shares of Sandisk in a report on Friday, May 1st. Three equities research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and five have issued a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $1,853.14.

Sandisk Trading Down 3.7%

The firm’s fifty day moving average price is $1,709.64 and its 200 day moving average price is $1,147.93. The stock has a market capitalization of $179.52 billion, a price-to-earnings ratio of 16.63 and a beta of 5.20.

Sandisk (NASDAQ:SNDK) last posted its quarterly earnings data on Wednesday, August 5th. The data storage provider reported $39.25 earnings per share 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 96.94%. The firm had revenue of $8.96 billion during the quarter. During the same period in the previous year, the business posted $0.29 EPS. The business’s revenue for the quarter 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, analysts forecast that Sandisk Corporation will post 185.89 earnings per share for the current fiscal year.

Sandisk declared that its board has approved a share repurchase program on Wednesday, August 5th that permits the company to buyback $14.00 billion in outstanding shares. This buyback authorization permits the data storage provider to purchase up to 6.6% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s leadership believes its shares are undervalued.

Insider Transactions at Sandisk

In other news, CAO Michael Pokorny sold 2,446 shares of Sandisk stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $1,426.18, for a total value of $3,488,436.28. Following the completion of the sale, the chief accounting officer directly owned 22,375 shares of the company’s stock, valued at approximately $31,910,777.50. The trade was a 9.85% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, insider Bernard Shek sold 600 shares of Sandisk stock in a transaction on 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 completion of the sale, the insider directly owned 30,915 shares of the company’s stock, valued at $35,928,176.40. The trade was a 1.90% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 6,246 shares of company stock worth $9,993,292 over the last ninety days. Company insiders own 0.21% of the company’s stock.

Institutional Trading of Sandisk

A number of institutional investors and hedge funds have recently bought and sold shares of the business. BlackRock Inc. acquired a new position in shares of Sandisk in the second quarter valued at approximately $23,408,732,000. State Street Corp lifted its holdings in Sandisk by 20.7% during the 4th 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 lifted its holdings in Sandisk by 44.9% during the 4th 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 grew 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 acquiring an additional 828,332 shares in the last quarter. Finally, Morgan Stanley grew 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 acquiring an additional 199,545 shares in the last quarter.

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.