Sandisk (NASDAQ:SNDK) Shares Gap Down – What’s Next?

Sandisk Corporation (NASDAQ:SNDK)’s share price gapped down prior to trading on Wednesday . The stock had previously closed at $695.51, but opened at $654.00. Sandisk shares last traded at $658.54, with a volume of 4,520,449 shares changing hands.

Sandisk News Roundup

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Blowout earnings and bullish guidance — Q2 revenue (~$3.03B), EPS beat and management forecasting much higher next‑quarter EPS ($12–$14) drove the fundamental rerating that underpins current investor optimism. Memory Supercycle article
• Positive Sentiment: Manufacturing visibility improved — extension of the Kioxia joint‑venture secures wafer/flash supply through the next decade, reducing a key operational risk and supporting premium margins. Kioxia venture extension
• Positive Sentiment: Major analyst upgrades and much higher price targets (Barclays, Citigroup, UBS, Cantor, others) are signaling broad Street conviction and are likely fueling buy‑the‑dip flows even as volatility rises. Barclays PT lift
• Neutral Sentiment: Thematic tailwinds — rotation into AI hardware and the “AI-in-a-box” trade is driving broader demand for high‑performance flash, which benefits SanDisk but also concentrates macro/theme risk in the name. AI in a Box
• Neutral Sentiment: Analyst coverage and institutional attention are intense (many buy ratings, rising targets); that helps liquidity but can magnify intraday swings as different investor types rotate in/out. Analyst roundup
• Negative Sentiment: Profit‑taking and momentum unwind — traders have been locking gains after a parabolic rally; a notable intraday selloff today reflected short‑term cashing‑out by momentum players. Invezz profit-taking
• Negative Sentiment: Extreme technical overstretch and volatile price action — indicators (very high RSI, huge gap above moving averages) plus hard‑to‑borrow signals make the stock susceptible to sharp pullbacks and squeeze‑outs. Investors should expect big intraday swings. MarketBeat volatility piece

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on the company. Weiss Ratings restated a “sell (d+)” rating on shares of Sandisk in a report on Monday, December 29th. Susquehanna boosted their price objective on shares of Sandisk from $250.00 to $300.00 and gave the company a “positive” rating in a research report on Monday, December 8th. Royal Bank Of Canada reissued a “sector perform” rating and set a $650.00 price target on shares of Sandisk in a report on Friday, January 30th. Cantor Fitzgerald increased their price target on Sandisk from $550.00 to $800.00 and gave the stock an “overweight” rating in a research note on Friday, January 30th. Finally, The Goldman Sachs Group boosted their price target on shares of Sandisk from $320.00 to $700.00 and gave the stock a “buy” rating in a research report on Friday, January 30th. One research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $542.85.

Sandisk Stock Down 15.1%

The stock has a market capitalization of $87.14 billion and a P/E ratio of -77.80. The firm’s fifty day moving average is $327.14 and its 200-day moving average is $189.56. The company has a current ratio of 3.11, a quick ratio of 1.92 and a debt-to-equity ratio of 0.06.

Sandisk (NASDAQ:SNDK) last issued its earnings results on Thursday, January 29th. The data storage provider reported $6.20 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.31 by $2.89. Sandisk had a negative net margin of 11.66% and a positive return on equity of 10.11%. The company had revenue of $3.03 billion for the quarter, compared to analyst estimates of $2.67 billion. The company’s revenue for the quarter was up 61.2% compared to the same quarter last year.

Insider Transactions at Sandisk

In other Sandisk news, Director Necip Sayiner sold 1,271 shares of the firm’s stock in a transaction that occurred on Wednesday, December 3rd. The shares were sold at an average price of $195.14, for a total transaction of $248,022.94. Following the completion of the sale, the director directly owned 3,479 shares in the company, valued at $678,892.06. This trade represents a 26.76% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 0.21% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Sandisk

Large investors have recently bought and sold shares of the stock. Composition Wealth LLC raised its stake in Sandisk by 0.4% during the 4th quarter. Composition Wealth LLC now owns 10,299 shares of the data storage provider’s stock worth $2,445,000 after acquiring an additional 41 shares during the period. Westfuller Advisors LLC grew its position in Sandisk by 51.8% in the 4th quarter. Westfuller Advisors LLC now owns 126 shares of the data storage provider’s stock valued at $30,000 after acquiring an additional 43 shares during the last quarter. Everhart Financial Group Inc. grew its stake in Sandisk by 3.4% in the 4th quarter. Everhart Financial Group Inc. now owns 2,058 shares of the data storage provider’s stock worth $489,000 after acquiring an additional 67 shares in the last quarter. Assetmark Inc. raised its holdings in shares of Sandisk by 71.6% in the fourth quarter. Assetmark Inc. now owns 175 shares of the data storage provider’s stock valued at $42,000 after acquiring an additional 73 shares in the last quarter. Finally, Savvy Advisors Inc. raised its stake in Sandisk by 1.3% in the fourth quarter. Savvy Advisors Inc. now owns 6,930 shares of the data storage provider’s stock worth $1,645,000 after buying an additional 87 shares in the last quarter.

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.