TLDR
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Sandisk stock gains 2.27% as Citi maintains its $2,100 price target on shares.
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Tight NAND supply could support Sandisk pricing and margins through 2028 ahead.
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Micron’s NAND revenue jumped 42% sequentially as selling prices strengthened.
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AI data centers are increasing demand for SSD storage and NAND-based products.
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Industry NAND shipments may grow at a mid-20% pace during both 2027 and 2028.
Sandisk Corporation (SNDK) stock rose 2.27% to $1,779.38 as stronger NAND pricing supported the company’s storage outlook on Thursday. Citi maintained a $2,100 price target while highlighting tighter NAND supply and stronger artificial intelligence infrastructure demand. The outlook extends through 2028, when supply growth may still trail rising storage requirements across major data center markets.
Citi Sees Tight NAND Supply Supporting Sandisk
Citi’s view followed Micron Technology’s latest quarterly results, which showed a sharp improvement in its NAND business performance. Micron reported a 42% sequential increase in NAND revenue during its fourth quarter, reflecting stronger demand and pricing. Bit shipments climbed 10%, while average selling prices increased by almost 30% during the reporting period.
That pricing increase exceeded Citi’s earlier expectation for roughly 20% average NAND price growth across the market. The stronger move suggested that industry supply remains constrained even as storage demand continues expanding across enterprise applications. Sandisk could benefit because firmer pricing can support margins across flash memory and solid-state storage products over coming quarters.
Micron expects its NAND supply growth in 2026 to trail overall industry expansion as manufacturers manage production carefully. Industry NAND bit shipments could rise at a mid-20% pace during 2027 and 2028. That combination could keep market conditions tight if data center demand grows faster than new production capacity.
AI Data Centers Increase Demand for SSD Storage
Artificial intelligence infrastructure continues creating larger storage requirements across data centers and cloud computing systems worldwide. Operators need fast storage for model training, inference workloads, caching, and large-scale data movement across computing clusters. Solid-state drives are becoming more important across high-performance computing environments and modern data center architectures.
Citi analyst Atif Malik highlighted AI key-value cache workloads as another source of storage demand. Data centers can shift some of these tasks toward lower-cost SSDs instead of more expensive memory products. That approach could expand demand for NAND-based products as companies seek lower costs without sacrificing storage performance.
Sandisk sells flash-memory products and storage solutions that serve consumer, enterprise, and data center markets globally. Rising enterprise SSD demand could give the company another growth channel beyond traditional device storage. Stronger pricing would also improve revenue visibility if supply remains disciplined across the broader NAND industry through 2028.
Sandisk Outlook Strengthens Through 2028
Citi kept its buy rating and $2,100 price target for Sandisk following the updated NAND outlook. The target reflects expectations that constrained supply and higher demand could support stronger earnings conditions over several years. Sandisk stock’s 2.27% gain places shares closer to that target after recent shifts across semiconductor and storage stocks.
The wider memory industry is also recovering from an earlier downturn that pressured prices and production plans. Producers previously reduced output and capital spending after excess inventories weakened memory pricing across several technology markets. Now, stronger data center spending and tighter inventories are helping support a more favorable supply environment.
Future performance will still depend on NAND pricing, shipment growth, and the pace of capacity additions. Industry conditions could shift if producers expand output faster than expected during the next two years. Demand growth must also remain strong enough to absorb additional supply without weakening pricing across the storage market.
Sandisk’s current setup links its growth outlook directly to the broader expansion of artificial intelligence infrastructure. Data centers require more storage as models generate larger datasets and increasingly complex workloads across enterprise systems. That trend could keep NAND demand elevated through 2028 if infrastructure spending remains strong and production growth stays controlled.
The post Sandisk Corporation (SNDK) Stock: AI Storage Boom Could Keep NAND Supply Tight Through 2028 appeared first on Blockonomi.
