Sandisk’s stock has turned one of the market’s biggest surprise winners into a story that few investors can ignore. The chipmaker’s shares on the Nasdaq under ticker SNDK have soared almost 4,100% from their February 2025 IPO price of about $36 to about $1,480, and were up roughly 520% this year as of May 22.
That rise would have transformed a $3,600 purchase of 100 shares at the offering into more than $148,000. Even after that run, Sandisk was trading at just 23 times forward earnings, far below where its valuation stood at the end of the first quarter, when its forward price-to-earnings ratio was 13.
The move is being driven by numbers that look more like a company in the middle of a shortage than one coming off a recent listing. Sandisk said its fiscal third quarter ended April 3 with revenue up 97% from the previous quarter to $5.9 billion, while year-over-year revenue jumped 251%. Net income increased 350% from the prior quarter to $3.6 billion, or $23.03 per share, and gross margin widened to 78.4% from 50.9% in the previous quarter.
Sandisk is a leading manufacturer of NAND drives and solid-state drives used in data centers, artificial intelligence computing, mobile phones, video game consoles and other applications. The company has already sold out its NAND flash drives for 2026 and is rapidly booking backlog for 2027 and beyond, a sign that demand is still outrunning supply.
For the current fiscal fourth quarter, Sandisk expects revenue of between $7.75 billion and $8.25 billion and gross margin of between 78.9% and 80.9%. Those forecasts suggest the company is not treating the recent rally as a ceiling. It is treating it as evidence that customers still need every chip it can ship.
The company sits in the middle of a memory chip supercycle, with demand for memory and storage chips used in AI infrastructure pushing supply to the edge. That imbalance has made the stock look expensive on the chart and comparatively cheap on earnings, a rare combination that helps explain why the market keeps bidding it up even after the latest surge. The next test is whether Sandisk can keep turning tight supply and backlogged orders into another quarter of blowout growth.
