Sandisk Data Center Revenue Jumps 64% as NAND Prices Surge 90%
Sandisk shares rallied 12% after a 1,500% gain since its spin-off, fueled by an 85-90% quarter-over-quarter surge in NAND flash prices and a 64% sequential jump in data center revenue. Analysts forecast 1,200% earnings growth this year with price targets of $650-$1,000 following a storage sector pullback.
1. Stock Performance Surge
Sandisk shares have climbed over 1,500% since its spin-off less than 14 months ago, and jumped nearly 12% in one day on heavy volume. This explosive performance underscores investor enthusiasm for its pure-play NAND positioning.
2. NAND Price Supercycle
Contract prices for NAND flash soared 85-90% quarter-over-quarter due to severe supply constraints and surging enterprise demand. Disciplined industry capex has limited bit growth, extending a multi-year pricing supercycle.
3. Data Center Demand and Revenue Growth
Enterprise SSDs for AI deployments drove data center revenue up 64% sequentially in the latest quarter. Hyperscaler and cloud provider buildouts continue to absorb most new supply, tightening consumer channel availability.
4. Earnings Projections and Analyst Targets
Analysts forecast 1,200% earnings growth this fiscal year and anticipate continued double-digit gains thereafter, supporting forward valuations. Consensus price targets have climbed from $542 to a $650-$1,000 range, implying up to 100% upside after a storage sector pullback.