Sandisk stock rose 3.67% after the memory-chip maker reported third-quarter fiscal 2026 sales of $5.9 billion and non-GAAP earnings of $23.41 per diluted share, extending a rally that has taken the shares up more than 4,800% over the past year. The move came as Mehdi Hosseini of Susquehanna lifted his target to $3,250 per share, a level that implies 49% upside from the current price of $2,185.
That surge is drawing attention now because Sandisk was spun off from Western Digital in early 2025 and has since been trying to sell itself as a company tied to AI storage demand rather than a legacy memory business. Its products still rest on NAND flash technology, which is why the stock is being watched alongside a commodity market that has been heating up fast. NAND prices nearly doubled in the first quarter and tripled over the past year, helping drive Sandisk's sales up 251% from a year earlier and more than triple from the 61% pace in the previous quarter.
For investors searching the name today, the split in Wall Street's math is the story. Among 28 analysts, the median target stands at $1,702 per share, which points to 22% downside from $2,185. William Kerwin of Morningstar and Srini Pajjuri at RBC Capital are even lower at $1,000 a share, a call that implies 54% downside. Hosseini's upgrade is built on the view that Sandisk deserves a much richer valuation than the market has given it.
But the bull case still runs into a hard problem. Sandisk's quarterly sales jumped, yet it merely held its share of NAND, which means the company has been riding price and supply more than taking the market from rivals. Kerwin said he does not believe Sandisk has an economic moat and argued that flash memory chips are commodities with no real pricing power, governed instead by supply and demand. That is the pressure point inside the rally: a business posting record-like growth in a shortage can look very different once the shortage eases.
For now, Sandisk is being valued as both a beneficiary of AI demand and a test case for how long the NAND shortage lasts. If prices stay elevated, Hosseini's target will look less aggressive than it does today. If they do not, the median view may prove closer to the mark.
