Sandisk Corp. (NASDAQ:SNDK) remains in focus as investors weigh improving AI-related memory demand, stronger peer results and the company's upcoming fiscal first-quarter earnings report.
The stock is up about 4% on Wednesday as AI memory demand headlines support broader memory-sector sentiment.
SK Hynix Results Support Memory Outlook
SK hynix Inc. (NASDAQ:SKHY) reported record operating profit of KRW 83.33 trillion, up 632% year over year, while revenue climbed 328% to KRW 104.62 trillion.
The company attributed the performance to higher memory prices and AI server demand.
SK hynix also said it has long-term agreements with 14 major customers covering more than 50% of its production capacity for 2027 and 2028. The company expects demand to continue exceeding supply through 2030.
Those results helped lift memory stocks including Sandisk and Micron Technology Inc. (NASDAQ:MU) as investors focused on the outlook for NAND, high-capacity flash memory and enterprise SSD demand.
Earnings Approach After October Pullback
Sandisk is scheduled to report fiscal first-quarter 2027 results on Oct. 29.
Analysts expect earnings per share of $46.22, up from $1.22 a year earlier, on revenue of $10.64 billion, compared with $2.31 billion in the prior-year period.
The stock trades at a 17.7 times price-to-earnings multiple.
Technical Analysis
Sandisk remains above its 200-day simple moving average (SMA) of $1,245.57, but trades 8.5% below its 20-day SMA of $1,486.86 and 13.7% below its 50-day SMA of $1,576.10.
The 20-day average also remains below the 50-day average, leaving the intermediate trend under pressure despite the rebound on Wednesday.
Analyst Outlook
Sandisk carries a Buy consensus rating with an average price forecast of $2,253.57.
Cantor Fitzgerald maintains an Overweight rating with a $2,200 forecast, Mizuho maintains Outperform with a $2,050 forecast, and Rosenblatt initiated coverage with a Buy rating and $2,400 forecast.
Top ETF Exposure
The Invesco S&P 500 Pure Growth ETF (NYSE:RPG) holds a 6.94% weight in Sandisk, while the Invesco S&P Spin-Off ETF (NYSE:FPX) holds 6.08% and the First Trust US Equity Opportunities ETF (NYSE:CSD) holds 5.85%.
Significant inflows or outflows in these funds can translate into corresponding trading activity in SNDK shares.
Price Action
SNDK Stock Price Activity: Sandisk shares are trading higher by 4.23% at $1,360.08 at the time of publication on Wednesday, according to Benzinga Pro data.