SanDisk (SNDK) Stock Jumps 10% on AI Storage Demand Surge

TLDR

• SanDisk (SNDK) stock surged 10.65% Wednesday to $585.00 and added 2% more in Thursday pre-market trading on memory sector momentum.
• The rally came after Micron announced early shipments of HBM4 chips, sparking investor enthusiasm across storage stocks despite no SanDisk-specific news.
• SNDK has gained over 150% year-to-date with management citing inability to meet demand and expecting supply constraints through 2026.
• Wall Street maintains Moderate Buy rating with 11 Buy and 4 Hold recommendations, average price target of $637.33 implies 6.34% upside.
• The stock recovered from a 7% drop earlier in the week and hit an intraday high of $608.17 before settling at $585.00.

SanDisk stock rocketed 10.65% higher Wednesday, closing at $585.00. The move came without company-specific catalysts.

Sandisk Corporation, SNDK

The rally reflected sector-wide enthusiasm for memory and storage stocks. Competitor Micron triggered the momentum by announcing early shipments of its HBM4 high-bandwidth memory chips.

SanDisk doesn’t manufacture HBM chips. But the Micron news highlighted the competitive race for high-speed memory solutions, lifting the entire sector.

Trading volume hit 8.85 million shares Wednesday. That represented 57.8% of the average daily volume of 15.32 million shares.

The stock touched an intraday high of $608.17 before closing at $585.00. That marked a sharp reversal from Tuesday’s close of $541.62.

Recovery From Earlier Selloff

Earlier in the week, SNDK dropped 7%. The decline followed reports that Samsung began mass production of HBM4 memory chips ahead of schedule.

Wednesday’s 10.65% gain more than erased those losses. Momentum traders appeared to drive much of the buying activity.

Thursday brought another 2% gain in pre-market trading. The stock now sits 19.31% below its 52-week high of $725.00.

Year-to-date performance has been exceptional. SNDK has climbed over 150%, making it one of the market’s top performers.

The stock trades roughly 2,000% above its 52-week low of $27.89. That massive run-up has some investors watching for profit-taking.

AI Data Center Opportunity Drives Demand

Management recently disclosed the company cannot fully meet surging demand. They expect this supply-demand imbalance to continue into 2026.

SanDisk is developing a high-bandwidth flash NAND product. The technology is designed to function as an HBM-like option for AI data centers.

This positions the company to capture spending as data center operators expand infrastructure. Constrained supply supports continued pricing power.

The tight market conditions provide visibility for sustained revenue growth. Management’s comments suggest strong order books extending well into next year.

Wall Street Outlook

Analysts rate SNDK a Moderate Buy based on 11 Buy and 4 Hold recommendations. No analysts currently rate the stock a Sell.

The consensus brokerage recommendation stands at 2.0 on a 1-5 scale. That indicates “Outperform” status among Wall Street firms.

Price targets range from $235 to $1,000. The wide spread reflects disagreement on valuation after the massive rally.

The average price target sits at $637.33. That implies modest upside of 6.34% from Wednesday’s close.

Some analysts believe the stock is approaching fair value. Others see room for growth as AI storage demand accelerates.

Shares currently trade at $585.00, with Thursday’s pre-market action pushing toward $597.00.

The post SanDisk (SNDK) Stock Jumps 10% on AI Storage Demand Surge appeared first on Blockonomi.