Flash memory is essential for AI applications, with the 3D NAND flash memory market expected to grow by 12.1% from 2026 to 2032. Sandisk Corporation specializes in NAND flash-based storage solutions for AI workloads, resulting in a doubling of its stock in 2026.

The rally is supported by rising 3D NAND pricing and the expectation of sustained AI-driven demand, leading to significant EBITDA margin expansion. SanDisk’s fiscal Q2 earnings report is highly anticipated, with management expecting revenue between $2.55 billion and $2.65 billion.

Sandisk, based in Milpitas, California, is a leading provider of NAND flash memory storage solutions for various markets. The company benefits from high demand for memory due to AI, cloud computing, and big data analytics, positioning it well for future growth.

Since its spinoff from Western Digital in 2025, Sandisk has seen its stock price skyrocket by nearly 1,200%, outperforming the S&P 500 by a wide margin. The company’s strong performance is driven by its role in the AI-driven data and storage cycle, attracting investors’ interest.

Sandisk’s fiscal first-quarter report for 2026 exceeded expectations, with revenue reaching $2.31 billion, up 22.6% year-over-year. The company’s profitability improved, with gross margin climbing to 29.9% sequentially and operating margin reaching 10.6%.

Financially, Sandisk achieved a net cash positive position earlier than planned, with strong adjusted free cash flow. The company continues to prioritize investments in technology and partnerships to maximize long-term value, leveraging the increasing demand for NAND memory.

Analysts expect Sandisk’s revenue for the upcoming quarter to be around $2.68 billion, with EPS estimated at $2.94. The company’s fiscal 2026 EPS is projected to grow significantly, followed by a surge in fiscal 2027.

Analysts have a positive outlook on Sandisk, with a consensus “Moderate Buy” rating. The stock currently trades above its consensus price target, with a Street-high target suggesting a potential rally of up to 23.2%.

Citigroup reaffirmed a “Buy” rating on Sandisk, citing accelerating enterprise SSD demand and a favorable supply backdrop. Analysts are optimistic about Sandisk’s growth potential, with a majority giving it a “Strong Buy” rating.

Read more at Yahoo Finance: Dear Sandisk Stock Fans, Mark Your Calendars for January 29