Sandisk (SNDK) Stock Surges Amid Flash Memory Shortage, Analysts Race to Keep Up

Sandisk shares soared 7.6% to $417.10 on Thursday, extending a staggering 63% rally in the first nine trading days of 2026. The flash memory specialist has now delivered a 1,000% return since spinning off from Western Digital in February 2025, emerging as one of the S&P 500's top performers this year.

Bernstein and Benchmark raised price targets to $580 and $450 respectively, though both still lag behind the current trading level. The rally stems from an acute flash memory shortage, with constrained NAND supply driving prices higher as manufacturers show discipline in capacity expansion. Short interest has climbed to 6.4% as some investors grow wary of the parabolic move.

Taiwan Semiconductor's bullish earnings and 2026 capex guidance added fuel to the rally, with markets interpreting the outlook as favorable for AI-related plays. Sandisk has become a prime beneficiary of AI-driven demand for memory solutions, though the breakneck pace of gains is testing even the most optimistic analyst forecasts.