Sandisk (NASDAQ:SNDK) Shares Break Below 200-Day Moving Average Following Analyst Downgrade

Sandisk Corporation (NASDAQ:SNDK)’s share price crossed below its two hundred day moving average during trading on Friday after Wells Fargo & Company lowered their price target on the stock from $1,550.00 to $1,300.00. The stock has a two hundred day moving average of $1,250.84 and traded as low as $1,115.16. Wells Fargo & Company currently has an equal weight rating on the stock. Sandisk shares last traded at $1,150.89, with a volume of 17,369,753 shares.

Other research analysts have also issued reports about the company. Bank of America reissued a “buy” rating and issued a $2,000.00 price objective on shares of Sandisk in a research report on Friday. Jefferies Financial Group restated a “buy” rating and set a $1,400.00 price objective (up from $1,000.00) on shares of Sandisk in a research note on Thursday, August 6th. Sanford C. Bernstein reaffirmed an “outperform” rating and issued a $3,000.00 target price (up from $1,700.00) on shares of Sandisk in a research report on Thursday, August 6th. Rosenblatt Securities reiterated a “buy” rating and issued a $2,400.00 target price on shares of Sandisk in a research note on Friday. Finally, New Street Research set a $3,000.00 target price on Sandisk in a report on Thursday, August 6th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $2,056.23.

Insider Activity

In other Sandisk news, EVP Alper Ilkbahar sold 4,712 shares of the company’s stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $1,540.58, for a total value of $7,259,212.96. Following the completion of the transaction, the executive vice president directly owned 44,134 shares of the company’s stock, valued at $67,991,957.72. This represents a 9.65% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Bernard Shek sold 2,308 shares of the firm’s stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $1,767.33, for a total value of $4,078,997.64. Following the sale, the insider owned 25,305 shares of the company’s stock, valued at $44,722,285.65. This represents a 8.36% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 77,899 shares of company stock valued at $121,159,122. Corporate insiders own 0.29% of the company’s stock.

Sandisk News Summary

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Sandisk reported fiscal Q1 revenue of $11.03 billion and non-GAAP EPS of $49.51, exceeding Wall Street expectations. Revenue increased 378% year over year, while GAAP net income reached $8.1 billion. SanDisk Q1 2027 Earnings Call Transcript
• Positive Sentiment: Management projected fiscal Q2 revenue of $12.2 billion to $12.6 billion and highlighted strong AI-driven data-center demand, long-term customer supply agreements and a pipeline extending through 2030. Data-center revenue rose 61% sequentially. SanDisk CEO Sees Strong Customer Demand
• Positive Sentiment: The board approved an 8-for-1 forward stock split effective November 19, and Sandisk repurchased approximately $5 billion of stock during the quarter. These actions may improve trading accessibility and signal management confidence, although they do not change intrinsic value. Sandisk Tops Estimates and Announces Stock Split
• Neutral Sentiment: Analyst sentiment remains divided. Rosenblatt reaffirmed a $2,400 buy target and Susquehanna maintained a positive rating, while Wells Fargo cut its target to $1,300 with an equal-weight rating and RBC reduced its target to $1,400 with a sector-perform rating.
• Negative Sentiment: Investors appear concerned that memory pricing and margins may be near a peak, limiting further earnings upside after the stock’s substantial run. Analysts also flagged valuation risks despite the earnings beat. Analyst Sees Memory Pricing Peak
• Negative Sentiment: The broader technology and semiconductor sell-off, triggered partly by disappointing results from Amazon and Intel, pressured memory stocks across the sector. Rising competition from China’s CXMT added another concern for investors. Why Memory Stocks Are Falling

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of SNDK. Compass Financial Management LLC grew its position in shares of Sandisk by 25.8% during the third quarter. Compass Financial Management LLC now owns 458 shares of the data storage provider’s stock worth $797,000 after buying an additional 94 shares in the last quarter. Rakuten Investment Management Inc. increased its stake in shares of Sandisk by 43.8% in the third quarter. Rakuten Investment Management Inc. now owns 39,043 shares of the data storage provider’s stock worth $67,535,000 after buying an additional 11,884 shares during the last quarter. MFG Investments LLC bought a new stake in shares of Sandisk in the third quarter worth $251,000. AIA Group Ltd increased its stake in shares of Sandisk by 51.2% in the third quarter. AIA Group Ltd now owns 5,292 shares of the data storage provider’s stock worth $9,207,000 after buying an additional 1,792 shares during the last quarter. Finally, Provenance Wealth Advisors LLC raised its holdings in Sandisk by 20,000.0% in the third quarter. Provenance Wealth Advisors LLC now owns 201 shares of the data storage provider’s stock valued at $350,000 after acquiring an additional 200 shares in the last quarter.

Sandisk Price Performance

The stock has a market capitalization of $166.34 billion, a price-to-earnings ratio of 9.23, a PEG ratio of 0.13 and a beta of 5.23. The firm’s fifty day moving average is $1,557.91 and its 200-day moving average is $1,250.84.

Sandisk’s stock is going to split on Monday, November 9th. The 8-1 split was announced on Thursday, October 29th. The newly created shares will be payable to shareholders after the closing bell on Thursday, November 19th.

Sandisk (NASDAQ:SNDK) last released its earnings results on Thursday, October 29th. The data storage provider reported $49.51 earnings per share for the quarter, topping the consensus estimate of $46.19 by $3.32. The company had revenue of $11.03 billion during the quarter. Sandisk had a net margin of 67.04% and a return on equity of 137.31%. Sandisk’s revenue for the quarter was up 23.0% on a year-over-year basis. During the same period in the previous year, the firm posted $1.22 EPS. On average, sell-side analysts expect that Sandisk Corporation will post 210.92 EPS for the current year.

Sandisk declared that its Board of Directors has approved a stock repurchase program on Wednesday, August 5th that authorizes the company to buy back $14 billion in outstanding shares. This buyback authorization authorizes the data storage provider to purchase up to 6.6% of its shares through open market purchases. Share buyback programs are generally an indication that the company’s management believes its stock is undervalued.

About Sandisk

SanDisk Corporation offers flash storage solutions. The Company designs, develops and manufactures data storage solutions in a range of form factors using flash memory, controller, firmware and software technologies. The Company operates through flash memory storage products segment. Its solutions include a range of solid state drives (SSD), embedded products, removable cards, universal serial bus (USB), drives, wireless media drives, digital media players, and wafers and components. It offers SSDs for client computing applications, which encompass desktop computers, notebook computers, tablets and other computing devices.