Artificial intelligence stocks continue to dominate Wall Street attention, but one of the biggest opportunities may be developing in the booming NAND flash memory market.
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As AI data centers rapidly expand across the globe, demand for high-performance storage solutions is surging, putting companies like Sandisk (NASDAQ: SNDK) in a strong position for long-term growth. With analysts at major firms issuing bullish price targets, tightening NAND supply, and AI infrastructure spending accelerating, Sandisk is emerging as a top technology stock to watch in 2026.
Most recently, analysts at Barclays upgraded Sandisk to an overweight rating and issued a $2,300 price target. According to the firm, the memory and storage segment is becoming one of the most attractive opportunities in the technology sector outside of AI accelerators. They pointed to ongoing supply and demand imbalances that could persist through 2027.
“We see Memory/Storage as the most attractive vertical below accelerators,” analyst Tom O’Malley said, as quoted by CNBC. “We note continued upside to pricing with supply/demand imbalance persisting through [2027] & discuss below how the changes in contracts transform the nature of the next several years in the industry.”
That comes just days after analysts at Citi said SNDK could rally more than 50% higher to $2,025. The catalysts continue to be strong storage demand, a strong pricing environment, and unending interest in artificial intelligence. “We remain constructive on a highly favorable [supply-demand] environment with clear indications of persistence with customer demand conversations through [2030],” wrote Citi analyst Asiya Merchant, as quoted by Barron’s.
Fueling upside, the NAND market could get even tighter thanks to artificial intelligence data center demand.
NAND Supply Cannot Catch Demand
We also have to consider that artificial intelligence will continue to drive massive demand for data centers, which, in turn, will fuel further demand for NAND.
You see, as long as there’s demand for artificial intelligence and data centers, there will be substantial demand for NAND. We also have to consider that these AI developments are happening with a supply backdrop that was never really designed to keep up with the demand it’s creating. That’s why NAND supply growth will remain limited in the immediate term.
In addition, consider this.
There are about 4,000 operational data centers in the U.S. right now. An additional 1,500 to 3,000 are being planned or under construction. According to Pew Research, the South has 754 planned data centers. The Midwest has 419 planned. The West has 277 planned, and the Northeast has about 106 planned. Globally, there are about 10,807. All need NAND, which creates even more opportunity.
Sandisk Earnings Will Remain Strong
In its most recent quarter, SNDK posted EPS of $23.41, beating estimates by $8.75. Revenue of $5.95 billion, up 252.1% year-over-year, beat by $1.22 billion. “With a zero-debt balance sheet, strong cash generation, and a recently authorized share repurchase program, we are positioned to deliver substantial long-term value creation for our shareholders,” CEO David Goeckeler said in the earnings report.
Moving forward, the company expects fourth-quarter revenue of between $7.75 billion and $8.25 billion. It also expects to see diluted net income of between $30 and $33. All numbers should improve further as rocketing NAND and AI data center demand drive demand.
Sandisk Earnings Continue to Show Strong Momentum
Sandisk appears well-positioned to benefit from one of the most powerful technology trends in decades. Artificial intelligence is reshaping the global economy, and the infrastructure supporting it depends heavily on high-performance memory and storage solutions.
With NAND demand accelerating, supply remaining constrained, and analysts growing increasingly bullish, Sandisk could continue delivering strong earnings growth and substantial shareholder returns in the years ahead. As AI adoption expands worldwide, the company may emerge as one of the biggest winners in the evolving data storage market.
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