Sandisk's stock is plunging, but some analysts are getting even more bullish

By Hannah Pedone

One new stock-price target implies nearly 85% upside from current levels

Evercore ISI analyst Amit Daryanani raised his price target for Sandisk shares to $3,100 from $1,400 on Sunday.

Shares of Sandisk got swept up in the broad-based chip selloff on Monday and have suffered through the major volatility in the memory space in recent weeks, but Wall Street remains unfazed.

In fact, some bullish analysts have gotten even more bullish.

Sandisk's stock (SNDK) tumbled 12.6% on Monday, the fifth double-digit percentage decline in the past three weeks. It has plunged 28.3% since closing at a record $2,335 on June 25 but has still rocketed 605.2% higher in 2026.

Monday's selloff comes as the PHLX Semiconductor Index SOX sank 4.8%, with all 30 components losing ground, hurt by a sharp drop in shares of South Korea-based chip giant SK Hynix (SKHY) (KR:000660).

Wall Street seemed to ignore all the weakness, with some analysts doubling down on their bullish calls.

Citigroup analysts reiterated their $2,500 price target - which implied 49% upside from Monday's closing price - after raising it from $2,025 last month.

Evercore ISI analyst Amit Daryanani went even further. He reiterated his outperform rating and raised his price target to $3,100 from $1,400, saying that the company's newly signed new business model agreements are driving a "new memory paradigm" and giving investors increased visibility into earnings.

The new price target implies 85% upside from Monday's closing price.

Daryanani wrote that he believes investors are "underappreciating" the durability of the company's earnings per share and free cash flow in the coming years.

He also raised revenue and EPS estimates, updating his models based on committed revenues from new business model contracts. He estimates the company's five NBM deals represent roughly $62 billion of minimum committed revenue over the next several years, and that over $11 billion in financial guarantees and prepayments improve investor visibility into the company's profile.

NBMs allow investors to underwrite a larger portion of the company's earnings than prior commodity cycles have allowed, he explained, and that marks a "structural change" for the company's EPS profile. He added that supply and demand mismatches will strengthen the company's pricing model and make it more sustainable.

The new price target makes Daryanani at least the fourth analyst, out of the 29 analysts surveyed by FactSet, to see the stock rising to at least $3,000. Another is Bernstein's Mark Newman, who recently raised his price target to $3,000 from $1,700, also citing the new paradigm in how agreements for memory are constructed.

Of the 29 analysts who cover Sandisk, 23 are bullish and five are neutral, while only one is bearish. And the average price has climbed to $2,325.83 from $2,156.26 at the end of June, according to FactSet.

Wedbush analyst Matthew Bryson told MarketWatch on Monday that generally, memory is "still in a very good place." While there are still a few "puts and takes" between dynamic random-access memory, where Micron Technology (MU) is particularly exposed, and NAND flash memory, which forms the basis of Sandisk's revenue, he said clean-room space remains a primary constraint to adding capacity, referring to physical space needed to build chips.

As artificial-intelligence demand remains strong and AI spending continues to grow, Bryson added, it's unlikely that memory supply will match demand until new clean-room space opens up - a dynamic that will be a boon for Sandisk, along with Micron.

See also: Sandisk's stock could follow record-breaking quarter with another big jump, analysts say.

-Hannah Pedone

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07-13-26 2055ET