NEW YORK, Feb 3, 2026, 06:56 EST — Premarket
- Sandisk shares gained roughly 2.9% in pre-market trading following a 15.4% surge on Monday. (Investing)
- Traders are betting on a story where AI-fueled demand runs headfirst into scarce memory supply. (Business Insider)
- The company forecasted fiscal third-quarter revenue between $4.40 billion and $4.80 billion. (SEC)
Sandisk Corporation shares were up roughly 2.9% in early Tuesday trading, pushing further on a strong rally that saw the stock jump 15.4% the day before. The stock last changed hands near $684.17, following Monday’s close at $665.24. (Investing)
This shift is significant as investors pile into memory and storage stocks linked to the AI boom, where demand spikes rapidly but supply lags behind. That dynamic puts pricing front and center—and pricing can send stocks soaring or plunging in no time.
New commentary on the “unprecedented” memory chip shortage is fueling the ongoing trade, with analysts highlighting AI data centers as a major demand driver and cautioning that supply is struggling to keep pace. Apple CEO Tim Cook called the situation “a supply chase mode,” Business Insider reports. (Business Insider)
Sandisk’s latest figures underscore the momentum. The company reported fiscal second-quarter revenue of $3.03 billion, marking a 61% jump year-on-year, with non-GAAP diluted earnings hitting $6.20 per share. For the fiscal third quarter, Sandisk projects revenue between $4.40 billion and $4.80 billion, and non-GAAP profit ranging from $12.00 to $14.00 per share. CEO David Goeckeler highlighted the quarter’s strength, noting the company is “capitalizing on better product mix” as the significance of its products in AI “is being recognized.” (SEC)
NAND flash — the memory powering solid-state drives, phones, and many PCs — often flips between oversupply and scarcity. At the moment, traders seem convinced the market is in the tight phase, pushing prices higher for enterprise and cloud demand exposure.
Sandisk has drawn attention since spinning off from Western Digital last year, with its stock showing notable swings. On Jan. 30, Morgan Stanley analysts noted earnings surpassed long-term trends and might hold steady for years. But Morningstar analysts cautioned about persistent supply bottlenecks. (Reuters)
Peers have followed the same trend, and investors are now watching to see if the momentum in memory stocks lasts through Tuesday’s cash session or slips into profit-taking. New analyst target revisions or customer checks might either boost or dampen the action.
But there’s a catch. The shortage story falls apart if supply expands quicker than anticipated, if spending on cloud and AI cools off, or if buyers resist price hikes. Memory cycles tend to shift before the headlines catch on.
The immediate question is whether Sandisk can hold onto gains after several big rallies, as investors turn their attention to the upcoming earnings report. Sandisk is scheduled to release results on April 29, per Seeking Alpha’s earnings calendar. (Seekingalpha)
