Bernstein lifts SanDisk price target to $3,000; shares jump

Bernstein raised its price target on SanDisk to $3,000 from $1,700 and kept an overweight rating, after which the stock rose roughly 4.9% in early Tuesday trading. The new target sits well above the analyst consensus of $1,845.64 and implies about 46% upside from Monday’s close.

The firm pointed to changes in long-term agreements for memory products and stronger demand for components used in artificial intelligence data centers as reasons for the higher valuation. Bernstein described newer long-term agreements as having fixed or range-bound pricing, longer terms and upfront financial commitments that lock in customers and limit exposure to steep price swings.

Using data provided by companies, Bernstein estimated SanDisk’s floor price in recently signed long-term agreements is about $0.29 per gigabyte. The firm said that level is meaningfully higher than the effective floor prices it assigns to some competitors.

Bernstein also ran earnings scenarios under the LTA framework. The firm projected SanDisk could reach earnings of $214 per share by fiscal 2030 with the agreements in place, compared with a potential $81 per share scenario without LTAs. Analyst Mark Newman wrote in a client note, “While these LTAs do not completely remove risk of future downcycles, they do significantly alleviate downside risk.”

Memory demand has accelerated across AI, cloud, hyperscale and enterprise data center markets, a trend investors describe as a memory supercycle. Micron reported 16 strategic customer agreements it characterized as non-cancellable contracts, typically running five years, and its results beat expectations, which analysts link to stronger long-term demand for data-center memory.

SanDisk separated from Western Digital in February 2025 and now operates as a pure-play flash memory supplier. The company sells enterprise solid-state drives, high-capacity NVMe drives and storage platforms used in AI, cloud, hyperscale and enterprise data centers, alongside consumer products. SanDisk remains smaller than peers including Samsung, Micron, Kioxia and Solidigm.

Market coverage is largely positive: LSEG data show 21 of 24 analysts rate SanDisk a buy or strong buy. The stock has been the best-performing S&P 500 issue in 2026, up about 767% year to date.