Sandisk Stock Set to Split on Friday, November 20th (NASDAQ:SNDK)

Sandisk Corporation (NASDAQ:SNDK) shares are set to split on Friday, November 20th. The 8-1 split was announced on Thursday, October 29th. The newly issued shares will be issued to shareholders after the market closes on Thursday, November 19th.

Sandisk Price Performance

Shares of NASDAQ SNDK opened at $1,150.89 on Monday. Sandisk has a one year low of $183.00 and a one year high of $2,354.39. The business’s fifty day moving average price is $1,557.91 and its 200-day moving average price is $1,250.84. The stock has a market capitalization of $166.34 billion, a PE ratio of 9.23, a P/E/G ratio of 0.11 and a beta of 5.66.

Sandisk (NASDAQ:SNDK) last released its quarterly earnings data on Thursday, October 29th. The data storage provider reported $49.51 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $46.19 by $3.32. Sandisk had a return on equity of 125.70% and a net margin of 67.04%. The company had revenue of $11.03 billion for the quarter. During the same quarter in the previous year, the firm posted $1.22 earnings per share. The business’s revenue for the quarter was up 23.0% compared to the same quarter last year. As a group, equities analysts expect that Sandisk will post 210.92 EPS for the current fiscal year.

Sandisk declared that its Board of Directors has approved a stock repurchase plan on Wednesday, August 5th that permits the company to buy back $14 billion in shares. This buyback authorization permits the data storage provider to repurchase up to 6.6% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s management believes its shares are undervalued.

Key Headlines Impacting Sandisk

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Sandisk’s quarterly results showed strong momentum, with approximately $11 billion in revenue and earnings above analyst expectations. Management and analysts also highlighted accelerating artificial-intelligence and data-center demand for NAND storage, with data-center demand representing roughly half of industry volume. SanDisk Earnings Call Showcases AI-Led NAND Surge
• Positive Sentiment: Barclays initiated or reiterated a Buy rating, supporting the longer-term view that AI-related storage demand could offset weakness in other markets. SanDisk Corp Gets a Buy from Barclays
• Neutral Sentiment: Sandisk’s planned 8-for-1 stock split is scheduled to begin trading on a split-adjusted basis in November. The split could improve share accessibility and trading liquidity, but it does not change the company’s underlying value or fundamentals. Sandisk Is Splitting Its Stock 8-for-1
• Negative Sentiment: Royal Bank of Canada and Susquehanna both reduced their price targets, adding pressure after the earnings-related selloff and signaling concerns about valuation or the sustainability of current growth expectations. Sandisk Price Target Reduction from Royal Bank of Canada
• Negative Sentiment: Kioxia indicated that the recent flash-memory price surge may be losing momentum. That raises the risk that NAND pricing and Sandisk’s margins could weaken, while Sandisk’s CFO acknowledged that higher prices are hurting consumer sales. Sandisk Sinks After Kioxia Comments
• Negative Sentiment: The stock recently fell below its 200-day moving average following an analyst downgrade, indicating deteriorating technical momentum and continued investor caution despite the strong earnings beat. Sandisk Stock Breaks Below 200-Day Moving Average

Analysts Set New Price Targets

Several equities analysts have recently commented on SNDK shares. Sanford C. Bernstein reiterated an “outperform” rating and set a $3,000.00 price objective (up from $1,700.00) on shares of Sandisk in a research report on Thursday, August 6th. Arete Research increased their price objective on Sandisk from $2,300.00 to $3,000.00 and gave the company a “buy” rating in a research report on Thursday, August 27th. Royal Bank Of Canada reduced their price objective on Sandisk from $1,600.00 to $1,400.00 and set a “sector perform” rating on the stock in a research report on Friday. New Street Research set a $3,000.00 price target on Sandisk in a research report on Thursday, August 6th. Finally, Mizuho raised their price target on Sandisk from $1,875.00 to $2,050.00 and gave the stock an “outperform” rating in a research report on Tuesday, October 6th. Two analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $2,056.23.

Insider Buying and Selling

In other news, EVP Alper Ilkbahar sold 4,712 shares of Sandisk stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $1,540.58, for a total value of $7,259,212.96. Following the sale, the executive vice president directly owned 44,134 shares in the company, valued at approximately $67,991,957.72. This trade represents a 9.65% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Bernard Shek sold 2,308 shares of Sandisk stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $1,767.33, for a total value of $4,078,997.64. Following the sale, the insider owned 25,305 shares in the company, valued at $44,722,285.65. This represents a 8.36% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 77,299 shares of company stock valued at $120,461,826 in the last 90 days. 0.29% of the stock is owned by insiders.

Institutional Investors Weigh In On Sandisk

Hedge funds have recently added to or reduced their stakes in the stock. Handelsbanken Fonder AB lifted its stake in Sandisk by 35.1% during the second quarter. Handelsbanken Fonder AB now owns 57,564 shares of the data storage provider’s stock worth $130,885,000 after purchasing an additional 14,964 shares in the last quarter. Focus Partners Advisor Solutions LLC acquired a new position in Sandisk during the second quarter worth $4,775,000. Florida Financial Advisors LLC acquired a new position in Sandisk during the first quarter worth $2,747,000. UNICOM Systems Inc. lifted its stake in Sandisk by 14.9% during the second quarter. UNICOM Systems Inc. now owns 58,500 shares of the data storage provider’s stock worth $133,013,000 after purchasing an additional 7,600 shares in the last quarter. Finally, Affinity Capital Advisors LLC acquired a new position in Sandisk during the second quarter worth $2,506,000.

About Sandisk

SanDisk Corporation offers flash storage solutions. The Company designs, develops and manufactures data storage solutions in a range of form factors using flash memory, controller, firmware and software technologies. The Company operates through flash memory storage products segment. Its solutions include a range of solid state drives (SSD), embedded products, removable cards, universal serial bus (USB), drives, wireless media drives, digital media players, and wafers and components. It offers SSDs for client computing applications, which encompass desktop computers, notebook computers, tablets and other computing devices.