Bank of America has significantly increased its price target on Sandisk Corp to $2,100 from a previous $1,500, maintaining a Buy rating on the stock.
- Analyst Wamsi Mohan cited a "tight" supply-demand balance and the company's successful implementation of new business models as key reasons for the upgrade.
- The new models are supported by a $42 billion minimum contractual revenue backlog, which provides greater earnings stability and includes over $11 billion in financial guarantees.
- The price action also aligns with a broader rebound in the technology sector following a selloff late last week.