SanDisk Shares Plunge 10.6% After BofA Raises 2027 Target
SNDK•SanDisk shares plunged 10.6% after Bank of America raised its 2027 price target, triggering profit-taking ahead of upcoming earnings. Investors rotated out of SanDisk and Micron as broader tech rotation built, though persistent NAND supply shortages are expected to underpin chip stock valuations.
1. Bank of America Revises 2027 Price Target
Bank of America increased its 2027 price target for SanDisk, citing expectations of sustained NAND flash demand, expanding margins and improved free cash flow in the storage segment.
2. Shares Plunge Despite Target Hike
Following the target revision, SanDisk shares fell 10.6% on heavy volume as investors booked gains, reflecting skepticism over near-term catalysts despite positive long-term projections.
3. Rotation Trade and Supply Outlook
A shift out of hardware stocks pressured both SanDisk and Micron, but ongoing NAND supply shortages are anticipated to limit downside and support valuation levels for memory chip producers.
