Sandisk (NASDAQ:SNDK) Stock Price Down 6.8% – Should You Sell?

Sandisk Corporation (NASDAQ:SNDK)’s stock price fell 6.8% during trading on Friday. The stock traded as low as $1,296.19 and last traded at $1,299.30. 8,795,799 shares traded hands during trading, a decline of 42% from the average session volume of 15,088,230 shares. The stock had previously closed at $1,394.83.

Trending Headlines about Sandisk

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Sandisk has reportedly secured at least $93.9 billion in expected revenue through multiyear contracts, including financial protections if customers fail to meet commitments. This supports longer-term revenue visibility amid the market selloff. Sandisk Stock Is Falling on AI Fears. Its $93.9 Billion Contract Book Tells Another Story
• Positive Sentiment: Some analysts remain bullish, arguing that data-center and AI infrastructure demand is still in its early stages. One forecast suggested the stock could reach $4,128 over the next year if demand remains strong, while another maintained a Strong Buy view. Sandisk Stock Could Be Worth $4,128 in the Next Year
• Positive Sentiment: Sandisk’s $15.5 billion buyback authorization could support earnings per share and shareholder returns if management converts strong demand into sustainable free cash flow. The company is targeting adjusted free cash flow equal to 50% of revenue in fiscal 2028–2030. Sandisk: The Earnings Boom Is Only Half The Story
• Neutral Sentiment: Sandisk was upgraded by Zacks Research from Hold to Strong Buy, adding a positive analyst signal, although the upgrade has not offset broader sector selling.
• Negative Sentiment: Memory-chip stocks, including Sandisk, Micron and SK Hynix, are falling as investors worry about Chinese competition, the cyclical nature of memory pricing and whether exceptional margin growth can persist. Cathie Wood Says the Memory Chip Trend Is Up but the Cycles Are Vicious
• Negative Sentiment: A wider Nasdaq and AI-trade selloff is pressuring high-beta technology shares. Higher inflation data and comments leaving open the possibility of another Federal Reserve rate hike have pushed Treasury yields higher, encouraging investors to reduce risk. Nasdaq 100 Slides As Micron, SanDisk, CoreWeave Sink
• Negative Sentiment: Cathie Wood’s warning highlights concerns that memory-chip cycles can reverse sharply and that Chinese rivals could undermine pricing and profitability, increasing skepticism after Sandisk’s extraordinary rally. Cathie Wood Just Issued a Stark Warning

Wall Street Analyst Weigh In

SNDK has been the topic of a number of research reports. Bank of America raised their price objective on Sandisk from $2,100.00 to $2,500.00 and gave the company a “buy” rating in a report on Wednesday, July 1st. Raymond James Financial upped their target price on shares of Sandisk from $1,470.00 to $2,000.00 and gave the stock an “outperform” rating in a report on Thursday, August 6th. Wells Fargo & Company upped their price objective on shares of Sandisk from $1,400.00 to $1,550.00 and gave the company an “equal weight” rating in a research note on Thursday, August 13th. Citigroup reiterated a “buy” rating on shares of Sandisk in a report on Thursday, October 1st. Finally, Susquehanna cut their price target on Sandisk from $3,050.00 to $2,745.00 and set a “positive” rating for the company in a report on Thursday, August 6th. Three analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $2,120.65.

Sandisk Trading Down 6.8%

The firm has a market cap of $187.79 billion, a price-to-earnings ratio of 17.82, a P/E/G ratio of 0.14 and a beta of 5.23. The stock’s fifty day moving average price is $1,601.86 and its 200-day moving average price is $1,498.34.

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. The company had revenue of $8.96 billion for the quarter. Sandisk had a return on equity of 87.84% and a net margin of 56.47%. Sandisk’s revenue for the quarter was up 371.6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.29 EPS. Sandisk has set its Q1 2027 guidance at 44.000-46.000 EPS. Analysts predict that Sandisk Corporation will post 208.94 earnings per share for the current year.

Sandisk announced that its board has authorized a stock buyback plan on Wednesday, August 5th that authorizes the company to repurchase $14.00 billion in outstanding shares. This repurchase authorization authorizes the data storage provider to repurchase up to 6.6% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s leadership believes its stock is undervalued.

Insider Transactions at Sandisk

In other Sandisk news, EVP Alper Ilkbahar sold 4,712 shares of the company’s stock in a transaction on 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 transaction, the executive vice president directly owned 44,134 shares in the company, valued at $67,991,957.72. This represents a 9.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO David Goeckeler sold 33,841 shares of the business’s stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $1,574.21, for a total value of $53,272,840.61. Following the completion of the sale, the chief executive officer owned 382,865 shares in the company, valued at $602,709,911.65. This represents a 8.12% 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 in the last ninety days. 0.29% of the stock is owned by company insiders.

Institutional Investors Weigh In On Sandisk

Hedge funds have recently added to or reduced their stakes in the business. Handelsbanken Fonder AB lifted its position in shares of Sandisk by 35.1% during the 2nd quarter. Handelsbanken Fonder AB now owns 57,564 shares of the data storage provider’s stock worth $130,885,000 after purchasing an additional 14,964 shares during the last quarter. Focus Partners Advisor Solutions LLC acquired a new position in shares of Sandisk during the second quarter worth $4,775,000. Florida Financial Advisors LLC purchased a new position in Sandisk in the first quarter valued at $2,747,000. UNICOM Systems Inc. increased its holdings in Sandisk by 14.9% in the second quarter. UNICOM Systems Inc. now owns 58,500 shares of the data storage provider’s stock valued at $133,013,000 after buying an additional 7,600 shares during the last quarter. Finally, Affinity Capital Advisors LLC acquired a new stake in Sandisk in the second quarter valued at $2,506,000.

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.