Sandisk Stock Is Up 3,126% Since August. Wall Street Is Confident That More Upside Is Ahead.

Up about 3,126% since August, shares of SanDisk (SNDK) still offers plenty of upside opportunity. According to analysts at Citi, the tech giant could rally more than 50% higher to $2,025. All thanks to strong storage demand, a strong pricing environment, and unending interest in artificial intelligence. In addition, as noted by the firm, signed long-term agreements could provide gross margins of more than 80% moving forward.

“We remain constructive on a highly favorable [supply-demand] environment with clear indications of persistence with customer demand conversations through [2030],” wrote Citi analyst Asiya Merchant, as quoted by Barron’s.

Fueling further potential upside, the NAND market could get even tighter thanks to artificial intelligence data center demand. In fact, as I noted in December 2025, “Analysts at Citi say NAND will be in undersupply in 2026, with some estimates putting that out to the tail end of 2027. Analysts at Bank of America are also bullish on SNDK stock, especially with NAND expected to remain undersupplied at least through 2026.”

Sandisk also announced a $6 billion buyback program. Citi expects that number to increase with SNDK’s growing free cash flow. 

NAND Supply Cannot Catch Demand

As I also noted in December, “We also have to consider that artificial intelligence will continue to create massive demand for data centers, which will lead to further demand for NAND.” 

That’s still the case. It’s also why SanDisk, a pure-play leader in NAND flash memory, will continue to benefit. In fact, as long as there’s demand for artificial intelligence and data centers, there will be substantial demand for NAND. We also have to consider that these AI developments are happening with a supply backdrop that was never really designed to keep up with the demand it’s creating. That’s why NAND supply growth will remain limited in the immediate term, even as AI demand explodes significantly higher. That’s also why stocks like SNDK will continue to soar.

Consider this. There are about 4,000 operational data centers in the U.S. right now. An additional 1,500 to 3,000 are being planned or under construction. According to Pew Research, the South has 754 planned data centers. The Midwest has 419 planned. The West has 277 planned, and the Northeast has about 106 planned. Globally, there are about 10,807. All need NAND, which creates even more opportunity.

Sandisk Earnings will Remain Strong

In its most recent quarter, SNDK posted EPS of $23.41, beating estimates by $8.75. Revenue of $5.95 billion, up 252.1% year-over-year, beat by $1.22 billion. “With a zero-debt balance sheet, strong cash generation, and a recently authorized share repurchase program, we are positioned to deliver substantial long-term value creation for our shareholders,” CEO David Goeckeler said in the earnings report.

Moving forward, the company expects to see fourth quarter revenue of between $7.75 billion and $8.25 billion. It also expects to see diluted net income of between $30 and $33. All numbers should improve even more with rocketing NAND and AI data center demand.

What Do Analysts Say About SNDK Stock?

Of the 22 analysts covering SNDK stock, 17 have a “Strong Buy” rating, one has a “Moderate Buy” rating, and four have a “Hold” rating, making for a consensus rating of “Strong Buy.” The mean target price of $1,572.78 implies potential upside of 3% from current levels. Meanwhile, the high price target of $2,590 implies as much as 71% possible growth from here.

In short, SanDisk continues to stand out as one of the strongest beneficiaries of the ongoing AI and data center boom. With NAND demand accelerating, supply remaining constrained, and analysts raising price targets aggressively, the company appears well-positioned for continued growth. Strong earnings, expanding margins, and a massive buyback program only strengthen the bullish case. While the stock has already delivered substantial gains, many analysts still believe there is meaningful upside ahead as AI demand increases over the long haul.