Key Highlights
- SanDisk (SNDK) stock gained 5.2% on Thursday, closing at $821.68
- Bernstein’s Mark Newman boosted his price target to $1,250 from $1,000, the highest among Wall Street analysts
- Newman presented a bullish scenario projecting shares could reach $3,000 under optimal conditions
- Cantor Fitzgerald increased its target to $1,000 from $800 while maintaining its Overweight stance
- SNDK shares have exploded 2,567% in the past year, dwarfing the S&P 500’s 29% advance
SanDisk shares surged 5.2% during Thursday’s trading session, reaching $821.68 and extending an extraordinary rally that has crushed broader market returns. The upward move followed Bernstein analyst Mark Newman’s decision to elevate his price target to $1,250—now the most aggressive forecast on Wall Street—from his previous $1,000 objective.
The new target represents approximately 60% potential upside from Wednesday’s close of $780.90. Newman maintains an Outperform rating on the shares.
Newman’s bullish stance centers primarily on memory chip demand dynamics. He believes Wall Street is failing to properly appreciate SanDisk’s earnings potential and the longevity of the current industry upcycle.
“We think the market is significantly undervaluing earnings power and sustainability of this cycle,” Newman stated in his research note.
Beyond his base case, Newman outlined an aggressive “blue-sky” projection placing the stock at $3,000. This optimistic forecast applies elevated valuation multiples to robust bull-case earnings projections.
Bernstein’s updated forecasts call for SanDisk to deliver $144 in earnings per share for fiscal year 2027 under base-case assumptions, while the bull-case scenario anticipates $224 per share.
Wall Street Analysts Raise Expectations
Cantor Fitzgerald’s C.J. Muse joined the chorus of optimism on Thursday, raising his target to $1,000 from $800 while reaffirming an Overweight rating on the stock.
Muse highlighted persistent strong demand alongside a supply-demand mismatch he anticipates will persist through at least mid-2028. “Demand remains robust, and we see the supply/demand imbalance extending into likely mid-CY28 earliest,” Muse noted.
NAND flash memory pricing dynamics are driving both analysts’ upgraded outlooks. Prices have accelerated beyond expectations, prompting analysts to reconsider the durability and strength of this cycle.
UBS previously documented that DDR memory prices jumped an average of 95% quarter-over-quarter in Q1, while NAND flash prices surged 80% during the same period.
Dismissing TurboQuant Concerns
Memory sector stocks experienced turbulence last month following Alphabet‘s unveiling of its TurboQuant compression technology. Google’s research team claimed the algorithm compressed key value memory requirements in AI models by a factor of six or more, triggering investor anxiety.
Newman dismissed these concerns as excessive, labeling the market reaction “overdone.” He referenced Jevons paradox—the economic principle suggesting that increased efficiency in resource use typically drives higher total consumption rather than reducing it.
SanDisk has delivered a staggering 2,567% return over the trailing twelve months. By comparison, Micron Technology (MU) has gained 473% during the identical timeframe. The S&P 500 has advanced 29%.
Wall Street consensus currently rates SNDK a Moderate Buy, reflecting 11 Buy recommendations and 3 Hold ratings issued within the past three months. The average analyst price target of $771.54 trades marginally below current price levels.
Investor attention now turns to SanDisk’s fiscal third-quarter 2026 earnings release scheduled for April 30, which should provide crucial insights into pricing trajectories and demand fundamentals.
