SanDisk (SNDK) shares plummeted by 12.63% on July 13, followed by additional declines in after-hours trading, amid a general selloff affecting memory and chip stocks. Despite this downturn, many analysts on Wall Street have raised or reaffirmed their price targets for the company, indicating confidence in SanDisk’s long-term earnings potential.
Analysts Stand By Their Projections
Citigroup maintained its bullish stance on SanDisk, reiterating a price target of $2,500. Senior analyst Asiya Merchant emphasized that this projection reflects a potential 30% increase from the stock's recent closing price. Although SanDisk's stock has surged nearly 600% year-to-date, it has experienced significant fluctuations over the past month.
Evercore ISI's Amit Daryanani has notably raised his target to $3,100 from $1,400, signifying a projected 62% upside. He believes that investors are underestimating SanDisk's ability to maintain its earnings and pricing power until 2027. Meanwhile, Bernstein analyst Mark Newman has increased his target from $1,700 to $3,000, attributing this shift to fundamental changes in the structure of long-term supply agreements among memory suppliers.
Positive Retail Sentiment
Retail interest in SanDisk remains solid. Data from Stocktwits indicates an “extremely bullish” sentiment surrounding SNDK, supported by high message volumes. A poll showed 19% of respondents favoring SanDisk for potential returns, despite Micron taking the lead at 57%. Overall, 18 out of 22 analysts covering SanDisk rated it as “Buy” or “Strong Buy,” with an average target price set at $2,112.32.
The upcoming earnings report will be crucial in determining whether SanDisk can realistically achieve targets exceeding $3,000. Investors are keenly watching how the company will navigate the ongoing fluctuations in the memory market as AI-driven demand continues to shape the space.
This material is informational and should not be considered financial advice.
