![\"Investor](\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2026\/06\/6ac7b091ef2900961228f0ee17b29c3f.jpeg\")
Image source: Getty Images. Sandisk is thriving in the memory shortage <\/p>\n
There always seems to be a shortage in the artificial intelligence (AI) build-out somewhere. In 2025, it was power. In 2026, the bottleneck appears to have shifted to memory chips<\/a>. Memory chips are found all over a data center. There is memory in computing units, but that is mostly DRAM, which Sandisk isn’t involved in. It produces NAND memory, which is also in short supply. NAND memory is primarily used in solid-state drives (SSDs). These are used as long-term storage for information, and are important to data centers because that’s where information about the AI model and previous interactions is housed. With demand for NAND memory soaring, so is the commodity price. That has caused Sandisk’s growth to spike, and there’s seemingly no end in sight.<\/p>\n In its latest quarter, revenue rose an impressive 251% year over year. Due to soaring prices, Sandisk’s margins are also rapidly improving.<\/p>\n This run is expected to continue, as Wall Street analysts project huge growth in the coming quarters. Next quarter, they estimate 332% revenue growth. For the rest of fiscal year 2026 (ending June 2026), analysts project 166% growth. For fiscal 2027, they project 116% growth. However, that’s nothing compared to its earnings-per-share growth. The average analyst projects $175.62 in earnings per share by the end of fiscal year 2027 (ending June 2027).<\/p>\n If you price Sandisk’s stock at a fairly reasonable 20 times earnings, that equates to a $3,512 share price in 2027. That’s easily over the $3,000-per-share target and represents more than a double from today’s levels. As a result, I think Sandisk stock can still go higher, even after its monster rise so far in 2026, and is among the best AI stocks to buy now<\/a>.<\/p>\n Should you buy stock in Sandisk right now? <\/p>\n Before you buy stock in\u00a0Sandisk, consider this:<\/p>\n The Motley Fool\u00a0Stock Advisor\u00a0analyst team just identified what they believe are the\u00a010 best stocks<\/a>\u00a0for investors to buy now\u2026 and\u00a0Sandisk\u00a0wasn\u2019t one of them.\u00a0The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years.<\/p>\n Consider when\u00a0Netflix\u00a0made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation,\u00a0you\u2019d have $439,847!*\u00a0Or\u00a0when\u00a0Nvidia\u00a0made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation,\u00a0you\u2019d have $1,342,065!*<\/p>\n That performance is why people listen. With a track record of\u00a0beating the S&P 500 by nearly 5x,\u00a0Stock Advisor\u00a0offers a distinct advantage. Don’t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built for the long haul.<\/p>\n See the 10 stocks \u00bb<\/a><\/p>\n *Stock Advisor returns as of June 5, 2026. <\/p>\n Keithen Drury<\/a> has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy<\/a>.<\/p>\n<\/a> SNDK Gross Profit Margin (Quarterly)<\/a> data by YCharts<\/a> <\/p>\n