This article first appeared on GuruFocus.
Sandisk (NASDAQ:SNDK) jumped in premarket trading after Citi raised its price target and opened a 90-day upside catalyst view, citing stronger NAND fundamentals after Micron’s blowout earnings as per reporting from Seeking Alpha.
Citi lifted its target on Sandisk to $2,500 from $2,025, saying the company should benefit from better pricing and durable AI-led data center demand. The firm specifically pointed to KV cache offloading, where more cost-effective SSDs can help support AI workloads, as a driver of stronger NAND supply-demand trends.
The call follows Micron’s strong quarterly results, which reinforced the view that AI memory demand remains healthier and more durable than investors feared. Sandisk shares rose 15.5% in premarket trading as investors looked for other storage and memory names that could benefit from the same cycle.
Citi expects updated commentary on demand and the technology roadmap, as well as a potentially constructive outlook on capital returns. The takeaway is that the AI memory rally is spreading beyond Micron into broader storage plays.