Shares jumped 5.5% to $1,732.67 Monday morning after Bank of America analyst Wamsi Mohan hiked his price target on SanDisk from $1,550 to $2,100 — a 35% premium to Friday's close — and doubled down on his Buy rating. BofA used last week's sharp pullback to make its call louder, not quieter. The move came alongside upgrades from Cantor Fitzgerald (target: $2,900) and Mizuho ($2,200), signaling broad institutional conviction that the dip was a buying opportunity.

  • $42 Billion in Locked-In Customer Deals Changes the Risk Profile. The five deals signed so far include at least $42 billion in committed revenue, more than $11 billion in guarantees, and $400 million in prepayments. These multi-year supply agreements start with fixed pricing before shifting to variable rates — meaning SanDisk gets a revenue floor even if memory prices soften. The company has signed more than a third of its fiscal 2027 revenue through these contracts. For shareholders, this converts what was once a volatile commodity business into something closer to a contracted backlog, which Wall Street typically values at a higher price-to-earnings ratio.

  • No New Supply Until 2028 Keeps the Pricing Party Going. NAND wafer starts are declining approximately 5% in fiscal 2026, and no significant new supply is expected until 2028.

NAND flash contract prices jumped 33% to 38% in Q4 2025, then another 85% to 90% in Q1 2026. BofA raised its fiscal 2027 revenue estimate to $44 billion and earnings per share to $188, up sharply from prior forecasts of $37.7 billion and $154, respectively. Free cash flow is expected to reach $27.5 billion in fiscal 2027 and $34.3 billion in fiscal 2028.

  • A 550% Rally Means the Stock Already Prices In a Lot of Good News. SanDisk has delivered one of the most extraordinary stock rallies in the technology sector this year, up more than 550% in 2026 before last week's pullback.

The stock now trades near 41 times trailing earnings, well above its five-year median of about 16 times.

Insider selling — including the chief legal officer's $1 million sale at the June 3 all-time high — may signal management caution even as analysts pile on targets.

  • History's Warning: Every Memory Boom Has Ended in Oversupply. Any single supplier announcing a large factory expansion would compress the entire pricing curve — a dynamic that has historically broken every memory rally.

Market rumors about Nvidia's next-generation chip platform potentially reducing memory requirements triggered an 11% SanDisk plunge on June 5 alone , a reminder of how fast sentiment can reverse. The bull case rests on this cycle being different; the bear case rests on it never being different for long.