Three years ago, Sandisk was selling flash memory below cost. In fiscal 2023, revenue fell 38% and gross margin dropped from 33.3% to 7.1%, leading to a net loss of about $2.1 billion. By contrast, fiscal Q4 2026 revenue rose 51% sequentially to $8.97 billion, about two-thirds driven by higher prices, with gross margin at 84.6%. Guidance for fiscal Q1 2027 points to revenue of $10.3 billion to $10.8 billion and non-GAAP gross margin of 83% to 85%, suggesting slower growth. The author says the October 29 report will show whether pricing still lifts revenue and whether margins hold, as TrendForce expects NAND contract prices to rise another 15% to 20% in the October-to-December quarter. Though shares sit about 30% below their 52-week high, the author argues the stock still reflects risk of falling profits and wants margins to hold through a quarter of falling flash prices before buying.
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Tim Cook led Apple from August 2011, and over those 15 years annual revenue rose from $108 billion in fiscal 2011 to $416 billion in fiscal 2025. iPhone sales also climbed from roughly $47 billion to nearly $210 billion, while the services business generated $30.74 billion in fiscal third quarter 2026 with a gross margin above 75%. Cook also used strong cash flow to repurchase shares, which helped lift earnings per share. John Ternus became CEO on Sept. 1 facing a different challenge: Apple already has more than 2.5 billion active devices, but with revenue above $400 billion, growth is much harder to sustain. The article argues that Ternus's opportunity is to make Apple's large customer base more valuable rather than to repeat Cook's pace of growth.
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