JPMorgan Starts SanDisk (SNDK) at Neutral

JPMorgan analyst Harlan Sur initiates coverage on SanDisk (NASDAQ: SNDK) with a Neutral rating and a price target of $235.00.

The analyst comments: "We are initiating coverage of Sandisk with a Neutral rating and $235 PT. While Sandisk offers leverage to the AI-driven enterprise solid state disk (eSSD) supercycle (albeit with much smaller AI exposure compared to peers) and a structurally advantaged cost base via its Kioxia JV, we view current pricing power as a cyclical peak rather than a structural reset. Capacity ramps slated for 2027+ threaten to erode the current healthy supply/demand situation, just as traditional end-market demand growth matures, likely capping long-term multiple expansion. Given the 300%+ YTD outperformance in the stock, we see risk-reward as
balanced, with near-term upside from an extended upcycle offset by the risk of earnings normalization as the industry reverts to its historical boom-bust pattern."

For an analyst ratings summary and ratings history on SanDisk click here. For more ratings news on SanDisk click here.

Shares of SanDisk closed at $228.47 yesterday.

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