SanDisk Corporation shares spiked 12.8% in morning trading after Citi raised its price target on the company to $2,500 from $2,025. The Bancorp s note linked the move to Micron Technology s quarterly results, which Citi said offered a positive read-through for the broader storage chip market.
Atif Malik, the Citi analyst behind the upgrade, argued that demand for NAND flash has outstripped supply and that the imbalance is likely to persist well beyond 2027. Malik attributed the extended tightness to artificial intelligence-related demand across multiple segments and to structural constraints on supply - a dynamic that Citi sees as particularly beneficial for SanDisk, which focuses exclusively on NAND products.
Adding weight to the bullish view, veteran trader Stephen "Sarge" Guilfoyle raised his SanDisk price target to $2,600 from $2,425. Guilfoyle said the previous session s sharp decline did not reflect the company s fundamentals and argued that the stock s technical profile improved after the pullback.
Citi also opened a 90-day short-term upside case for SanDisk shares and highlighted near-term events that could serve as catalysts. The firm pointed to the Flash Memory Summit in August and SanDisk s own investor day the same month, when updated remarks on demand, the technology roadmap, and capital returns are expected.
The rebound follows a severe sell-off on June 23, when SanDisk plunged about 14% amid a global rout sparked by a South Korean Kospi crash that exceeded 10%. That episode triggered broad weakness in AI- and memory-related names. By contrast, market breadth was mixed on the day of the rebound - the S&P 500 was up about 0.3%, the Dow Jones rose roughly 1.37%, and the Nasdaq was slightly lower by approximately 0.5% - indicating the move in SanDisk was driven mainly by sector-specific developments rather than a broad risk-on shift.
Three factors combined to create the setting for today s sharp advance: a high-profile analyst upgrade, Micron s robust earnings which Citi interpreted as confirmation of sharply higher NAND average selling prices, and what many market participants saw as an oversold condition following the prior macro-driven rout. Micron s results, cited by Citi, included NAND average selling price gains in the mid-80% range quarter-on-quarter.
SanDisk shares traded as high as $2,292 in the session and reached $2,159.73 during the rebound, putting the stock within striking distance of its 52-week high of $2,354.39.
What to watch next
- Investor attention on the Flash Memory Summit in August and SanDisk s investor day for fresh commentary on demand and capital returns.
- Quarterly industry reports and peer earnings that could further clarify NAND pricing trends and supply dynamics.