Core Insights - SanDisk (SNDK) has experienced a remarkable 163% surge year-to-date in 2026, following a 1,640% increase since its spin-off from Western Digital (WDC) in early 2025, making it the top performer in the S&P 500 for two consecutive years [1] - Goldman Sachs projects that high-bandwidth memory supply will not ease until 2028, with demand expanding over 20% annually, positioning SanDisk favorably in the market [1] - SanDisk's Q3 guidance indicates projected revenue of $4.4 billion to $4.8 billion and adjusted EPS of $12 to $14, significantly above the consensus revenue estimate of $4.21 billion [1] Financial Performance - SanDisk reported Q2 fiscal 2026 results with revenue of $3.03 billion, a 61% year-over-year increase, and net income surged 672% to $803 million from $104 million a year earlier [1] - The adjusted earnings per share (EPS) of $6.20 exceeded consensus estimates of $3.62 by 71%, leading to a significant stock price increase of 14.8% to 17% in after-hours trading [1] Market Dynamics - The "Great Memory Crunch" identified by Goldman Sachs indicates that supply constraints will enhance pricing power for SanDisk, with no new NAND wafer capacity expected in 2026 or 2027 [1] - Recent announcements from NVIDIA have further increased demand for NAND memory, contributing to SanDisk's favorable market position [1] Investor Sentiment - Reddit sentiment around SanDisk has been very bullish, with scores reaching 88 to 89 following the earnings report, indicating strong retail investor interest [1] - Despite some recent volatility and bearish sentiment due to competitive threats from Samsung, the fundamental outlook for SanDisk remains strong, with Wall Street's consensus target price at $688, suggesting further upside potential [1]
SanDisk Soars 163% in 2026: Can it Be the Market's Top Performer in Back-to-Back Years?