SanDisk Soars 15% on Investor Day Roadmap: 80% Gross Margin, 50% FCF Margin Targets
Summary
SanDisk jumped 15% after unveiling an aggressive long-term roadmap at its investor day. The company now targets roughly 80% non-GAAP gross margin, a 50% adjusted free-cash-flow margin, and plans to return 100% of excess cash to shareholders. It also forecasts mid-to-high-teens revenue growth through 2030 and says AI is about to make data centers far more storage-hungry. These targets are well above typical memory-industry levels and signal management's confidence in the AI-driven demand cycle. The move follows a brutal correction from June peaks and a strong Q4 beat earlier this month, but today's guidance reset is the first concrete long-term margin framework. Western Digital and Micron rallied in sympathy, confirming the sector-wide read-through.
At the time of this announcement, SNDK was trading at $1,559.68 on NASDAQ in the Technology sector, with a market capitalization of approximately $231B. The 52-week trading range was $42.82 to $2,354.39. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Benzinga.