Sandisk (SNDK)

Sandisk (SNDK) is the NAND flash pure play spun off from Western Digital in February 2025. AI data-center demand has repriced its business: fiscal Q3 2026 revenue nearly doubled sequentially to $5.95 billion with a 78.4% gross margin, and Sandisk guided fiscal Q4 to $7.75-8.25 billion. It reports next around mid-August 2026.

What does Sandisk do?

Sandisk designs and manufactures NAND flash memory and storage. It reports three end markets, and in fiscal Q3 2026 all three were lifted at once: Datacenter earned $1.47 billion (up 645% year over year), Edge $3.66 billion (up 295%), and Consumer $0.82 billion (up 44%) (Sandisk 8-K, Apr 30, 2026). The company is young as a listed entity but old as a business: Western Digital completed the separation of its flash unit on February 21, 2025, leaving Sandisk as the only US-listed NAND pure play, the storage-side counterpart to the DRAM and HBM franchise of Micron (Sandisk 8-K, Apr 30, 2026).

How is AI driving Sandisk’s business?

Through storage demand and a pricing upcycle at the same time. AI data centers store training corpora, model checkpoints, and inference data on enterprise SSDs, and that pulled Sandisk’s datacenter revenue up 233% in a single quarter, to $1.47 billion (Sandisk 8-K, Apr 30, 2026). Tight NAND supply then repriced everything else: company-wide gross margin went from 22.5% a year earlier to 78.4%. The structural change is contractual. Under its New Business Model, Sandisk has signed five multiyear supply agreements (three in fiscal Q3, two more in fiscal Q4) that contract over a third of fiscal 2027 bit supply, with the three Q3 contracts alone carrying a minimum $42 billion revenue backlog and more than $11 billion of enforceable financial guarantees (Sandisk Q3 2026 earnings call). CEO David Goeckeler framed the quarter as a regime change:

“This quarter marks a fundamental inflection point for Sandisk — where our technology leadership is enabling a deliberate shift in our mix toward the highest-value end markets, led by Datacenter. We are also advancing to a new business model built on multi-year customer engagements backed by firm financial commitments.”

— David Goeckeler, CEO, Sandisk (Sandisk 8-K, Apr 30, 2026)

What did Sandisk report most recently?

In fiscal Q3 2026 (the quarter ended April 3, 2026), Sandisk posted revenue of $5.95 billion, up 97% sequentially and 251% year over year, far above its own $4.4-4.8 billion guidance (Sandisk 8-K, Apr 30, 2026). GAAP net income was $3.62 billion, or $23.03 per diluted share, with non-GAAP EPS of $23.41, against a non-GAAP loss of $0.30 a year earlier. GAAP gross margin reached 78.4%, up 55.9 points year over year, and GAAP operating income was $4.11 billion. The balance sheet turned as fast as the income statement: management cited a zero-debt position, a new $6 billion share-repurchase authorization, and $400 million of customer prepayments already on the balance sheet (Sandisk Q3 2026 earnings call).

What is Sandisk’s guidance?

For fiscal Q4 2026, Sandisk guided revenue to $7.75-8.25 billion, a non-GAAP gross margin of 79.0-81.0%, and non-GAAP diluted EPS of $30.00-33.00 on roughly 158 million shares (Sandisk 8-K, Apr 30, 2026). The midpoint implies another roughly 34% sequential increase on top of a quarter that already doubled. The print that grades this guidance is expected around mid-August 2026, calendar-estimated from the prior year and not yet confirmed (Sandisk IR).

What are the risks for Sandisk?

• Memory cyclicality. A 78.4% gross margin in a business that earned 22.5% a year earlier is a supercycle reading; NAND has historically swung from shortage to oversupply even faster than DRAM, and a supply response is already economic at these prices.
• NBM execution. The contracted-backlog model is new: outer-year pricing carries variable components, and no memory company has run a $42 billion guaranteed backlog before, so renewal and enforcement remain untested (Sandisk Q3 2026 earnings call).
• Competition. Samsung, SK hynix, Kioxia, and Micron all compete in NAND, and a capacity race among them would compress the pricing that drives current margins.
• Concentration in hyperscaler demand. The datacenter mix shift ties Sandisk to the same handful of AI capex budgets as the rest of the US AI semiconductor basket; a pause there would hit pricing and volume together.

Related securities, concepts & terms

Sandisk is the NAND flash pillar of the US AI semiconductor concept, the storage layer beneath the accelerators, alongside the DRAM and HBM exposure of Micron. It also serves as the storage layer of the US AI Data Center concept, where its enterprise SSDs sit inside the campuses of neoclouds and operators like CoreWeave and Applied Digital.

• US AI Semiconductorparent
• US AI Data Centerparent
• Micron Technology (MU)sibling
• SK Hynix (000660)related
• Asia Memory Semiconductorrelated

Related indices & ETFs

• KODEX US AI Semiconductor TOP3 Plus ETF (0151S0) · Samsung Asset Management
  Korea-listed ETF (January 13, 2026) tracking the Akros US AI semiconductor index; Sandisk is a constituent of the concept.
• Akros U.S. AI Semiconductor Top 3 Plus Index (AUAIST3P) · Akros Technologies, Inc.
  The Akros index that frames the US AI semiconductor concept and the benchmark the KODEX ETF tracks.
• TIGER US AI Data Center TOP4 Plus ETF (0142D0) · Mirae Asset Global Investments
  Korea-listed ETF (December 9, 2025) tracking the Akros index behind this concept; total annual fee 0.49%.
• Akros U.S. AI Data Center TOP4 Plus Index (AUAIDC) · Akros Technologies, Inc.
  The proprietary Akros index that frames this concept and the benchmark the TIGER ETF tracks.

These references describe index-tracking relationships as a matter of fact and are not a recommendation to buy any product. Akros, as the index provider, may receive licensing fees from product sponsors. Review the product's prospectus before investing.

Frequently asked questions about Sandisk

Sources & references

1. Sandisk Reports Fiscal Third Quarter 2026 Financial Results (SEC 8-K, Exhibit 99.1) · Sandisk Corporation / SEC EDGAR, 2026-04-30
2. Sandisk Reports Fiscal Second Quarter 2026 Financial Results (SEC 8-K, Exhibit 99.1) · Sandisk Corporation / SEC EDGAR, 2026-01-29
3. Sandisk (SNDK) Q3 2026 earnings call transcript · The Motley Fool, 2026-04-30
4. Sandisk Corporation · investor relations · Sandisk Corporation, 2026-06-10