Overview
- SanDisk shares dropped roughly 12–13% during a sector selloff on Tuesday, July 14, following heavy profit-taking after a run that has left the stock up about 600% year to date.
- Company filings show $41.6 billion in remaining performance obligations but only about $6.24 billion, or roughly 15 percent, is expected to become revenue within the next 12 months.
- Several banks sharply raised targets this month with Evercore at $3,100, Bernstein near $3,000, Bank of America at $2,500 and Wedbush at $2,000, while market observers warn the stock trades at an elevated multiple of roughly 57 times trailing earnings.
- SanDisk says it will sample a next‑generation high‑bandwidth flash product later this year with a planned commercial rollout in 2027, and analysts view that roadmap and long‑term supply contracts as key to sustaining margins.
- Investors are focused on the August 5 earnings report for guidance on backlog conversion and production timing because any signal that supply is easing or contracts are slow to convert could quickly reverse the current valuation premium.