SanDisk’s $5.95B Quarter and $42B Deals Propel It Past Western Digital
WDC•SanDisk posted Q3 FY2026 revenue of $5.95 billion (up 97% sequentially, 251% year-on-year), EPS of $23.41 (60% above estimates) and free cash flow of $2.955 billion, supported by $42 billion in supply agreements. Sandisk’s market capitalization has surpassed former parent Western Digital, underscoring Western Digital’s slower growth since the February 2025 spinoff.
1. Sandisk Posts Record Q3 Results
SanDisk reported Q3 FY2026 revenue of $5.95 billion, up 97% sequentially and 251% year on year, with EPS of $23.41, a 60% beat, and free cash flow of $2.955 billion driven by a 233% jump in enterprise SSD sales.
2. Multi-Year Supply Agreements Enhance Visibility
The company secured $42 billion in multi-year supply contracts, including over $11 billion in guarantees, covering more than one-third of fiscal 2027 production and underpinning its predictable cash flow profile.
3. Sandisk Surpasses Western Digital in Market Value
Sandisk’s market capitalization has overtaken its former parent Western Digital, highlighting the latter’s comparatively slower growth since the February 2025 spinoff and shifting investor focus toward pure-play NAND dynamics.
