In the third quarter of 2025, Stanley Druckenmiller established a new position in Sandisk after the company’s spinoff earlier in the year. The stock had already appreciated by 1,050% since February, reflecting strong investor enthusiasm for the flash memory specialist. Druckenmiller’s move follows his exit from Broadcom, and represents a shift toward pure-play NAND flash exposure at a time when Sandisk has been gaining share in data center SSD deployments.

Sandisk currently trades at approximately 170 times last twelve months’ adjusted earnings, a premium driven by robust demand for high-performance storage in AI workloads. Wall Street consensus projects adjusted earnings growth of 79% per annum through fiscal 2029. Gross margins have expanded to just under 30%, bolstered by vertical integration and cost‐sharing partnerships with leading wafer foundries, positioning the company to capture further upside if NAND pricing enters an upcycle in 2026.

During early 2026, multiple research firms raised price targets on Sandisk and maintained overweight or outperform ratings, reflecting expectations for continued outperformance against revenue and EPS consensus. Concurrently, several major asset managers increased or initiated positions, with reported third‐quarter inflows totaling nearly $3 billion across five institutions. Insider ownership remains below 1%, though recent director selling has been more than offset by growing institutional demand.

All eyes are on Sandisk’s Q3 fiscal 2026 earnings release, where a midpoint revenue guide above $2.72 billion and EPS above $3.84 would signal accelerated hyperscaler adoption of the latest enterprise SSDs. Given the stock’s steep valuation, investors will scrutinize guidance consistency and any commentary on NAND supply constraints or ASP trends to assess whether current multiples are sustainable.