Goldman Sachs Analyst Sees Strong Quarter Ahead for Memory Stock Sandisk

Sandisk's (NASDAQ:SNDK) stock has been on a wild ride this year, rallying 493% since the start of 2023 before pulling back 40% to its June high. However, in recent trading sessions, the company has seen a 39% climb, indicating confidence that the NAND recovery still has room to continue.

Heading into the company's earnings report, investors are expecting another strong quarter, but Goldman Sachs analyst James Schneider believes Sandisk is well-positioned to clear this hurdle. Schneider, who ranks among the top 3% of Wall Street analysts, expects a 'very strong quarter driven by continued NAND supply tightness.'

Schneider notes that recent management commentary and customer agreement announcements have left investors optimistic about the company's prospects. He believes that limited supply additions will continue to support NAND pricing while Sandisk benefits from an improving product mix as enterprise SSD adoption expands among hyperscale customers.

The analyst has raised his forecasts for Sandisk, primarily reflecting stronger NAND contract pricing assumptions and higher operating expenses. Schneider now expects Sandisk to outperform both Wall Street's quarterly estimates and the high end of management's guidance, with its calendar-year 2026 non-GAAP earnings forecast standing more than 30% above the Street's consensus estimate.