Group 1 - SanDisk Corporation is recognized as one of the best performing S&P 500 stocks in 2025, with JPMorgan initiating coverage with a Neutral rating and a price target of $235, highlighting its position to benefit from the AI-driven enterprise SSD supercycle due to a low-cost structure from its joint venture with Kioxia [1] - In FQ1 2026, SanDisk reported revenue of $2.3 billion, marking a 21% sequential increase and a 23% year-over-year increase, with non-GAAP EPS rising to $1.22, supported by a non-GAAP gross margin of 29.9% [2] - Data Center revenue increased by 26% sequentially to $269 million, driven by cloud expansion and AI infrastructure needs, while the Edge segment also rose by 26% to $1.387 billion, and Consumer revenue grew by 11% to $652 million [3] Group 2 - SanDisk projects revenue for FQ2 2026 to be between $2.55 billion and $2.65 billion, with improved visibility into 2026 and 2027 as customers are shifting towards long-term agreements for supply certainty, particularly for enterprise SSDs [3] - The company develops, manufactures, and sells data storage devices and solutions using NAND flash technology across various regions including the US, Europe, the Middle East, Africa, and Asia [4]
JPMorgan Cautions on SanDisk’s (SNDK) Long-Term Profitability Despite AI-Driven SSD Supercycle