Sandisk (NASDAQ:SNDK) Stock Price Down 4.9% – Should You Sell?

Sandisk Corporation (NASDAQ:SNDK)’s stock price fell 4.9% during mid-day trading on Thursday. The company traded as low as $1,584.14 and last traded at $1,609.46. Approximately 9,077,553 shares were traded during mid-day trading, a decline of 41% from the average daily volume of 15,284,658 shares. The stock had previously closed at $1,692.42.

More Sandisk News

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: AI demand supports the growth outlook. Analysts argue that expanding artificial-intelligence data centers could drive sustained demand for Sandisk’s flash storage, potentially extending the current growth cycle beyond a typical memory upturn. SanDisk’s AI Storage Boom May Have Years to Run
• Positive Sentiment: Recent operating results remain exceptionally strong. Fiscal fourth-quarter revenue rose 372% year over year to approximately $8.97 billion, while gross margin reached 84.6%. The company also exceeded the earnings consensus and issued strong first-quarter fiscal 2027 guidance, reinforcing the bullish fundamental case. Sandisk Posted an 84.6% Margin Quarter
• Positive Sentiment: Mizuho raised its price target, citing demand from “agentic AI,” providing additional support for Sandisk and other memory stocks after the recent decline. Mizuho Raises SanDisk Price Target
• Neutral Sentiment: Short-interest data show no reported short position as of October 9, implying no measurable short-selling pressure in the cited figures. However, the report’s statement that short interest “increased” while totaling zero shares appears internally inconsistent. Short Interest Report
• Negative Sentiment: Memory-sector weakness is weighing on near-term trading. Samsung’s preliminary revenue miss raised concerns about memory demand and pricing, sending Micron, SK Hynix and Sandisk lower together. Investors are also watching higher Treasury yields, oil prices and profit-taking after Sandisk’s extraordinary one-year rally. The Memory Trade Cools After Samsung Results

Wall Street Analyst Weigh In

Several brokerages recently commented on SNDK. Argus raised shares of Sandisk from a “hold” rating to a “buy” rating and set a $1,600.00 price target for the company in a research report on Monday, August 10th. China Renaissance boosted their price target on Sandisk from $2,000.00 to $2,250.00 and gave the stock a “buy” rating in a research report on Wednesday, August 19th. Mizuho upped their price objective on shares of Sandisk from $1,875.00 to $2,050.00 and gave the company an “outperform” rating in a research report on Tuesday. Jefferies Financial Group reissued a “buy” rating and set a $1,400.00 price target (up from $1,000.00) on shares of Sandisk in a research report on Thursday, August 6th. Finally, Citigroup reaffirmed a “buy” rating on shares of Sandisk in a report on Thursday, October 1st. Two analysts have rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating and four have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $2,120.65.

Sandisk Trading Down 1.7%

The stock’s 50-day moving average price is $1,593.00 and its 200-day moving average price is $1,470.61. The company has a market capitalization of $228.62 billion, a P/E ratio of 21.70, a P/E/G ratio of 0.16 and a beta of 5.23.

Sandisk (NASDAQ:SNDK) last announced its quarterly earnings results on Wednesday, August 5th. The data storage provider reported $39.25 earnings per share (EPS) for the quarter, topping the consensus estimate of $33.28 by $5.97. Sandisk had a return on equity of 87.84% and a net margin of 56.47%. The business had revenue of $8.96 billion for the quarter. During the same period last year, the business posted $0.29 EPS. The company’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. Sell-side analysts expect that Sandisk Corporation will post 208.94 earnings per share for the current fiscal year.

Sandisk declared that its Board of Directors has initiated a share repurchase program on Wednesday, August 5th that allows the company to repurchase $14.00 billion in shares. This repurchase authorization allows the data storage provider to repurchase up to 6.6% of its stock through open market purchases. Share repurchase programs are usually an indication that the company’s board believes its shares are undervalued.

Insiders Place Their Bets

In other Sandisk news, CFO Luis Visoso sold 1,000 shares of the business’s stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $1,568.83, for a total transaction of $1,568,830.00. Following the completion of the transaction, the chief financial officer owned 130,976 shares in the company, valued at approximately $205,479,078.08. The trade was a 0.76% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, 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 completion of the sale, the executive vice president directly owned 44,134 shares of the company’s stock, valued at $67,991,957.72. The trade was a 9.65% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 77,899 shares of company stock worth $121,159,122 over the last 90 days. Insiders own 0.21% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in SNDK. Atomic Invest LLC acquired a new stake in Sandisk in the 2nd quarter valued at approximately $25,000. Dunhill Financial LLC acquired a new stake in shares of Sandisk in the 2nd quarter valued at $30,000. Mowery & Schoenfeld Wealth Management LLC bought a new stake in Sandisk during the 2nd quarter worth approximately $32,000. Kilter Group LLC bought a new stake in Sandisk during the 2nd quarter worth about $32,000. Finally, KERR FINANCIAL PLANNING Corp bought a new stake in shares of Sandisk during the second quarter worth $34,000.

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.