Barron's associate editor Al Root joins hosts Julie Hyman and Jake Conley to discuss Sandisk's (SNDK) latest earnings and stock move. The company beat expectations on both revenue and profit, and data center sales beat again, though operating cash flow was a slight miss. The shares still fell, and the panel attributed much of the weakness to broader market moves, including Intel's sharp decline and Microsoft closing lower the previous day. Kioxia's below-estimate profit outlook, and easing growth in memory and flash prices after several quarters of rapid gains, raised doubts about how long the memory cycle will last.
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SNDKsemiconductorsmemory chipsearnings
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Related tickers and likely impact
NVDA
• NeutralNvidia
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 10/29/2026 | 213.72 |
| Change that session | -0.77% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Sandisk ( NASDAQ : SNDK ) Shares Down 5 . 3 % – Here What Happened
Sandisk shares fell about 5.3% in mid-day trading on Wednesday, last trading at $1,403.34 versus a previous close of $1,482.33. Volume reached 7,131,299 shares, 53% below the average daily volume. The article links the drop to concerns that China's CXMT could intensify server-memory competition, a multiday slide in memory stocks, hotter-than-expected U.S. inflation and a broader tech selloff. Offsetting this, Sandisk has at least $93.9 billion in expected revenue from multi-year contracts, was upgraded by Zacks to 'strong buy', and its board authorized a $14.00 billion buyback; the consensus rating is 'Moderate Buy' with a $2,120.65 price target.
- Why Sandisk Stock Rallied Today
Sandisk (SNDK) rose as much as 6.4% during the session, mainly after rival SK Hynix reported fiscal 2026 third-quarter results. SK Hynix posted record revenue of 104.6 trillion won (about $78.9 billion), up 328% year over year, and operating profit of 83.3 trillion won (about $61.7 billion), up 632%, both beating analysts' consensus estimates. Management said demand for AI memory chips is expected to outpace supply through 2030. Sandisk shares have gained more than 650% over the past year, trade at 19 times earnings and are growing at a triple-digit rate. The article argues that AI-related demand lasting through the end of the decade will benefit Sandisk shareholders.
- History Says This Will Happen to Sandisk Stock Heading Into Its Oct. 29 Report
Sandisk (SNDK) stock is up 478% so far in 2026, driven by strong demand for its NAND flash memory from AI data centers and a supply shortage that has boosted revenue and profit. In its fiscal 2026 fourth quarter (ended July 3), revenue rose 372% year over year and earnings per share reached $43.97, yet the stock trades at a P/E ratio under 19 as investors worry the memory upcycle may end. To address this, Sandisk has signed eight new business model (NBM) agreements with large customers that guarantee price floors and purchase volumes for several years. Management guided for midpoint revenue of $10.5 billion (up 357%) and EPS of $45 for fiscal Q1 2027, versus Wall Street expectations of a 363% increase and $46.27 EPS; results are due Oct. 29.
- Sandisk Stock Is Still Up 488% This Year Despite a 40% Drop. Is It a Buy Now?
Sandisk (SNDK) closed near $1,395 on Oct. 15, its sixth straight daily decline, still up about 488% this year from $237 at the end of 2025 but roughly 40% below its June 25 peak close of $2,335. The article argues profits matter more: non-GAAP EPS rose from $6.20 in fiscal Q2 2026 to $23.41 in fiscal Q3 and $39.25 in fiscal Q4, while fiscal Q1 2027 guidance of $44 to $46 implies about 15% growth at the midpoint, with pricing driving much of the slowdown. At around $1,395, the stock trades near 19 times the $73.76 GAAP EPS reported for fiscal 2026, and Sandisk generated about $5 billion in adjusted free cash flow in fiscal Q4, spent $4.5 billion on buybacks, and its board later approved another $14 billion. However, memory prices move in cycles, and adjusted EPS was only $2.99 in fiscal 2025. Only about half of output is covered by multiyear New Business Model agreements with eight customers, which carry at least $93.9 billion in revenue at floor prices.
- SanDisk (SNDK) Is Now Worth More Than the Company That Spun It Off
SanDisk (SNDK) closed at $1,394.83 on October 15, giving it a market value of $265.98 billion, above the $170.78 billion of Western Digital, the parent that separated it out. The flash memory maker has grown sharply as AI-driven demand for data center storage pushed revenue up 371.6% from a year earlier in the latest quarter, and the shares are up 901.24% over twelve months. Operating margin reached 78.47% of revenue, but the article notes SanDisk has not yet operated through a full cycle on its own, and that producers' decisions to add capacity could later create oversupply. The stock trades at 8.04 times next year's expected earnings, far below its trailing multiple, and the article reads this as the market refusing to pay a premium for earnings that may not survive a full cycle.
- Sandisk Is Dominating the S&P 500 in 2026. Can It Repeat in 2027?
Sandisk (SNDK) has been the best-performing S&P 500 stock for most of 2026 and, although recently overtaken by Moderna, remains in second place with a gain of nearly 500% this year. Its revenue has surged on strong demand for NAND memory chips used in SSDs for AI data centers, with tight supply pushing prices sharply higher; fourth-quarter fiscal 2026 revenue rose 372% year over year. The main concern is that prices could reverse, but Sandisk is signing new agreements with customers that lock in committed volumes and defined pricing, which should make it less cyclical. The author notes the stock trades at 19 times trailing earnings and 6.5 times forward earnings, suggesting the market is pricing in no 2027 growth, and argues it could triple in 2027 if it meets expectations and keeps its current trailing valuation.
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