Shares of SanDisk Corp. extended their sharp rally on Monday, climbing more than 16% as investors continued to respond to the flash memory maker’s stronger-than-expected quarterly results and an increasingly bullish outlook from Wall Street analysts.
The move builds on a dramatic run for the stock following its second-quarter earnings release last week.
SanDisk shares have surged nearly 143% over the past month and are up roughly 1,756% over the past year, reflecting renewed confidence in the company’s earnings power amid a tightening supply environment for flash memory.
Earnings beat resets expectations
SanDisk reported its fiscal second-quarter 2026 results on Jan. 29, delivering a performance that materially exceeded market expectations.
The company posted revenue of $3.03 billion for the quarter, representing a 31% sequential increase and topping Street forecasts of $2.64 billion.
Profitability also came in far ahead of consensus. SanDisk reported adjusted earnings per share of $6.20 for the quarter, nearly double the $3.33 per share expected by analysts.
The scale of the earnings beat underscored the strength of pricing conditions in the flash memory market, which has tightened as demand rebounded faster than supply.
The company’s guidance reinforced that momentum.
For the fiscal third quarter, SanDisk forecast revenue at a midpoint of $4.6 billion and adjusted earnings at a midpoint of $14 per share, figures that imply a sharp step-up in both sales and profitability from the already-strong second quarter.
Analysts strongly bullish on SanDisk stock
Following the earnings release, several analysts moved quickly to reassess their assumptions.
Barclays became the latest firm to raise its price target on the stock. Analyst Tom O’Malley lifted his target to $750 from $385, while maintaining an Equal Weight rating.
While O’Malley did not change his neutral stance, the magnitude of the target increase reflected a reassessment of SanDisk’s near-term earnings trajectory after the earnings beat and guidance.
The revised target implies that even analysts with a more cautious view acknowledge that prior expectations underestimated the speed and scale of the current upcycle.
Bernstein took a more bullish position. The firm raised its price target on SanDisk to $1,000 from $580 and reiterated an Outperform rating.
Analyst Mark C. Newman described the quarter as a “significant beat and guide,” pointing to what he characterised as a very strong pricing environment across flash memory products.
Bernstein said the results and outlook mark the beginning of what it views as a powerful earnings phase for the company.
Based on the latest figures, the firm raised its fiscal 2026 earnings per share estimate to $38.92 and its fiscal 2027 estimate to $90.96, a figure that sits roughly 188% above current consensus forecasts.
A recurring theme in analyst commentary has been pricing. SanDisk’s results suggested that higher prices, rather than just volume growth, are playing a central role in the company’s earnings acceleration.
Analysts have highlighted disciplined supply additions across the industry and a rebound in demand from key end markets as factors supporting sustained pricing strength.
That environment has helped drive a rapid re-rating of SanDisk shares, with recent gains reflecting not only near-term earnings beats but also expectations that elevated margins could persist longer than previously assumed.
The post SanDisk stocks rockets another 16% today: why analyst see further upside ahead appeared first on Invezz
