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Sandisk Corporation

Latest update

$1,411

Updated: Jul 16, 2026, 8:46 PM UTC

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Metrics

SanDisk Corporation: Strong Fundamentals Amidst Recent Volatility

SanDisk Corporation, a prominent player in data storage solutions leveraging NAND flash technology, demonstrates robust financial health with strong revenue and Free Cash Flow growth, high profitability, and sensible debt management. Despite recent negative price action, the underlying business quality remains high.

Growth pace
How fast the underlying business is moving, quarter by quarter. Hover any tile for the plain-English meaning.

Revenue

The total dollars the company billed customers. When this number grows quarter after quarter, the business is finding more demand.

quarterly

Latest

$6B

Q1 2026

The most recent reported figure, in the company's own currency and reporting cadence.

QoQ

+96.7%

vs Q4 2025

How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.

YoY

+251.0%

vs Q1 2025

How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.

CAGR

insufficient history

The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.

Net income

What's left from revenue after paying every cost — employees, materials, taxes, interest. Sometimes called profit or 'the bottom line.'

quarterly

Latest

$3.6B

Q1 2026

The most recent reported figure, in the company's own currency and reporting cadence.

QoQ

+350.2%

vs Q4 2025

How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.

YoY

vs Q1 2025

How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.

CAGR

insufficient history

The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.

Free cash flow

The cash actually left in the bank after the company has paid for everything and reinvested in itself. Harder to fake than net income.

quarterly

Latest

$3B

Q1 2026

The most recent reported figure, in the company's own currency and reporting cadence.

QoQ

+205.4%

vs Q4 2025

How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.

YoY

vs Q1 2025

How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.

CAGR

insufficient history

The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.

Quarterly revenue, net income & free cash flow
Bars show what the company actually reported each quarter. The growth chart below turns these into the QoQ / YoY pace the rest of this page uses.
Annual growth rate (YoY)
Year-over-year change in full-year totals. Strips out quarterly noise and seasonality so the multi-year trend is visible — not just the last 12 months.
Compound annual growth (CAGR)
The smooth yearly growth rate across each window. The "start → end" line shows the dollar value at the beginning and end of the window.
Metric3 yr2 yr1 yr
Revenue
+251.3%
$1.7B$6B
Net income
Free cash flow
+23925.4%
$49M$3B
Valuation — P/E

P/E TTM

48.3×

Trailing twelve months. Today's price divided by the last year of actual earnings.

P/E NTM

6.6×

Next twelve months. Today's price divided by what analysts expect the company to earn over the coming year.

Balance sheet & valuation
The five numbers that decide whether the growth above is safe, sustainable, and reasonably priced. Descriptions on every tile — hover or scroll to read.

Profitability

Strong

Operating margin (and the wider return profile) tells you how efficiently each dollar of sales becomes profit. High and rising = pricing power; low or falling = the business is grinding.

Share count

Stable

Are the buybacks outrunning the stock-based comp? A shrinking share count means every existing share owns a bigger slice of future earnings.

Debt load

Light

Total debt against cash and earnings power (EBITDA). Light debt leaves room to invest and weather downturns; heavy debt shrinks the margin for error.

Debt service

Strong

Whether the cash the business generates easily covers its interest and loan payments. Strong here = no forced selling in a bad year.

Cash return at today's price

1.1%

Free cash flow divided by market cap — the cash yield you're getting for the price you pay. Above ~6% is rich, below ~3% is thin. P/E shown when the yield is too small to be useful.

What stands out
  • SanDisk's revenue growth is exceptional, with a 251.0% YoY increase and 96.7% QoQ in Q1 2026, indicating strong demand for its products.
  • Net income and Free Cash Flow have shown significant quarterly growth (350.2% QoQ and 205.4% QoQ respectively in Q1 2026), highlighting efficient operations and strong cash generation.
  • The company maintains strong profitability with a 34.2% Net Margin, 70.0% Operating Margin, and 56.0% Gross Margin. ROE and ROA are also very healthy at 39.3% and 22.8%.
  • Financial stability is high with a light debt load, a strong debt service capacity (EBITDA $5.63B, Op cash $4.64B), and excellent liquidity (Current ratio 4.8, Quick ratio 3.4).
  • Valuation appears attractive with a forward P/E of 6.6x, significantly lower than its trailing P/E of 48.3x, suggesting market expectations of continued strong earnings growth.
  • Share count is stable, indicating no significant dilution from stock-based compensation, which is positive for existing shareholders.

Thesis

Why this read

Despite exceptionally strong fundamentals and a broader positive cycle, the stock is currently undergoing a sharp short-term correction. The significant drop below the daily moving average, coupled with expanding volume, points to near-term technical weakness. While the long-term outlook is bullish, entering now carries elevated tactical risk due to ongoing selling pressure and impending earnings. Waiting for the price to stabilize or show signs of reversal from this short-term dip is a more prudent approach.

Short-term thesis

Aligned75% conviction+15 ptsv1
SanDisk: A Leading NAND Flash Innovator Poised for Continued Growth

SanDisk Corporation represents a compelling investment in the rapidly expanding data storage market. Its strong financial performance, underpinned by massive revenue growth and superb profitability, confirms its leadership in NAND flash technology. The company's robust balance sheet and attractive forward valuation further solidify its position as a high-quality asset, despite recent short-term price volatility. The ongoing digitization of the global economy creates a persistent, high-growth environment for SanDisk's essential products.

Long-term exposure

Own

The business backdrop is strong enough for long-term exposure.

Entry window

Wait

SanDisk has experienced a significant price drop recently, falling over 21% below its daily average, showing weakness in the very short term. However, it remains above its longer-term weekly average, suggesting that the broader uptrend is still intact. Volume has expanded during this recent decline, which often indicates strong selling pressure. Given the setup, it's prudent to wait for signs of stabilization or a clear rebound from the current shorter-term weakness before considering a move.

Risk check

Watch

Risk is manageable, but position size and timing still matter.

Alignment

Aligned

The weekly setup and the long-term case are pulling together.

What supports it

  • Sales and cash still support a long hold.
  • Price still looks reasonable against the business.
  • Balance sheet gives the thesis room to breathe.
  • Debt service still looks controlled against cash generation.

What limits it

  • The stock is lagging the broad market by 29.2 points over the past month.
  • The stock is trailing its sector by 24.4 points.
  • Price is deeply below the daily 21 EMA and experienced a significant daily drop, indicating strong short-term selling pressure.
  • High competition in the memory and storage market could compress future margins.

Long-term thesis

The explosion of data across all sectors – from mobile and enterprise to AI and IoT – creates an insatiable demand for high-performance, dense, and energy-efficient data storage solutions. NAND flash technology is at the heart of this transformation, acting as a foundational component for modern computing infrastructure.

85opportunity80% thesis conf
Crossing Chasm5y horizon

Bottleneck Role

SanDisk plays a critical role in addressing the bottleneck of efficient data storage. As data volumes grow exponentially, the ability to store, access, and process this information quickly and reliably becomes paramount. SanDisk's advanced NAND flash solutions provide the necessary speed, density, and form factors to overcome traditional storage limitations, making them an enabler for next-generation technologies like AI and advanced cloud computing.

Consensus Blind Spot

The consensus might underestimate the sustained, non-cyclical nature of demand for high-performance storage driven by AI and IoT. Many still view NAND as a cyclical commodity, whereas the increasing specialization and performance requirements for these new workloads suggest a more resilient and growing demand profile. Also, the forward P/E suggests a potential underestimation of continued exceptional earnings growth.

Demand Gap

The current demand for high-performance, energy-efficient NAND flash products is outpacing the pace of innovation and capacity expansion. AI, in particular, requires massive, ultra-fast data access, creating a persistent gap that SanDisk is well-positioned to fill with its specialized SSDs and embedded solutions.

Demand to Equity Scenarios

Bear30% conf

Global economic slowdown leading to reduced consumer electronics and enterprise IT spending, coupled with oversupply in the broader memory market.

Demand

-15%

Earnings

-30%

Equity implication

-40%

Lower average selling prices and reduced unit volumes for SanDisk's products, leading to revenue contraction and margin pressure.

Base70% conf

Continued strong growth in cloud infrastructure, mobile devices, and steady adoption of AI/IoT, slightly offset by supply ramping up.

Demand

+10%

Earnings

+15%

Equity implication

+25%

Stable to improving average selling prices and consistent volume growth, translating to solid revenue and earnings expansion for SanDisk.

Bull60% conf

Massive acceleration in AI and IoT adoption, significantly outstripping industry capacity expansion, leading to sustained high pricing power and rapid market share gains for SanDisk.

Demand

+25%

Earnings

+50%

Equity implication

+75%

Substantial increase in both unit volumes and average selling prices, leading to explosive revenue and profit growth far exceeding current analyst expectations.

Dependency Chain

  1. 1Global data generation accelerates
  2. 2Increased adoption of AI, IoT, cloud computing, and advanced mobile devices
  3. 3Demand for high-density, low-latency, non-volatile storage skyrockets
  4. 4NAND flash market expands rapidly
  5. 5SanDisk, as a leader in NAND technology, benefits from increased sales volumes and pricing power
  6. 6Higher revenues and profits for SanDisk
  7. 7Equity repricing reflects increased intrinsic value

Repricing Triggers

  • Strong earnings reports confirming continued demand and pricing power in NAND flash.
  • Guidance substantially beating consensus estimates for future quarters, particularly for AI-related storage solutions.
  • New product announcements or technology breakthroughs that solidify SanDisk's leadership in high-performance storage.
  • Positive industry reports indicating tightening supply conditions or accelerating demand for NAND.
  • Analyst upgrades and increased price targets reflecting revised growth expectations.

Must be true

  • Demand for data storage, especially high-performance NAND flash, will continue its robust growth trajectory driven by AI, cloud, and IoT.
  • SanDisk maintains its technological edge and competitive market position in NAND flash innovation and manufacturing.
  • The company effectively navigates potential supply chain disruptions and secures necessary raw materials.
  • Capital allocation remains focused on growth and shareholder returns, without excessive dilution.

Thesis broken if

  • Significant slowdown in data center or mobile device growth.
  • Declining average selling prices (ASPs) for NAND flash products across multiple quarters.
  • Loss of market share to competitors or failure to innovate with new generations of flash technology.
  • Material erosion of gross or operating margins due to increased competition or input costs.
  • Negative guidance revisions from management or persistent earning misses.

History

Analysis timeline
1 runs

Jul 16, 2026

Latest

Updated Jul 16, 2026, 8:46 PM UTC

WeeklyWAIT
Long termOWN
Confidence60% · Medium

Price at review

$1,411

SanDisk has experienced a significant price drop recently, falling over 21% below its daily average, showing weakness in the very short term. However, it remains above its longer-term weekly average, suggesting that the broader uptrend is still intact. Volume has expanded during this recent decline, which often indicates strong selling pressure. Given the setup, it's prudent to wait for signs of stabilization or a clear rebound from the current shorter-term weakness before considering a move.