Sandisk (NASDAQ: SNDK) has already delivered a strong performance in 2026. However, analysts at Rosenblatt believe the data storage company’s rally may still have room to run. The firm just initiated coverage of Sandisk with a buy rating and a price target of $2,400.
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That may sound like an aggressive call, especially after Sandisk shares surged more than 600% since the beginning of the year. But Rosenblatt analyst Kevin Cassidy believes artificial intelligence (AI) is changing the importance of the company’s core technology.
Instead of viewing NAND (NOT AND) flash memory as a basic, interchangeable storage product, investors may need to start seeing it as an increasingly important component of AI infrastructure.
AI Is Changing the Memory Market
Historically, the NAND business has been highly cyclical.
Manufacturers would frequently increase production when demand and prices were strong. That expansion could eventually create too much supply, forcing prices and profit margins lower. Customers purchasing memory for smartphones and personal computers also tended to prioritize affordability, making it difficult for producers to maintain pricing power.
Artificial intelligence could disrupt that traditional pattern.
As AI models become larger and more sophisticated, they require substantial amounts of data. That information must be stored, accessed and moved quickly. AI inference, the process of using a trained model to answer questions or perform tasks, can also create heavy, continuous demand for data storage.
In this environment, customers may care more about storage density, speed, reliability and durability than simply obtaining the lowest possible price.
That distinction is central to Rosenblatt’s bullish argument. AI platforms cannot perform effectively if processors are forced to wait for the data they need. Storage is therefore becoming more closely integrated with the overall performance of an AI system.
Sandisk May Have a Technological Advantage
Rosenblatt also believes that Sandisk’s technology can help set the company apart from its competitors. The firm specifically pointed to Sandisk’s BiCS8 and BiCS10 3D NAND platforms.
Three-dimensional NAND allows manufacturers to stack layers of memory cells vertically, increasing the amount of information that can be stored without requiring a proportionate increase in the physical size of a chip.
That matters because AI data centers need increasingly large amounts of storage while still attempting to manage space, power consumption and operating costs.
Sandisk says its BiCS10 technology uses 332 memory layers and offers a 59% improvement in bit density compared with BiCS8. It can also deliver interface speeds of up to 4.8 gigabits per second, along with improved power efficiency.
Rosenblatt believes that the combination could give Sandisk an attractive cost curve while still providing the performance required by AI-oriented customers.
Sandisk Stock’s Technical Setup Points Toward $2,000
SNDK stock’s technical setup provides another reason to watch the shares as they approach the psychologically important $2,000 level. The chart shows that SNDK remains comfortably above its rising 200-day moving average, which sits near $1,076. That gives the stock a substantial long-term trend cushion even after its enormous 2026 rally.
More recently, the stock has recovered from its August low near $1,100 and moved back toward the $1,800 area. The MACD is also providing a bullish signal. As of September 22, the MACD line was around 46.4 versus 35.6 for the signal line, with a positive histogram of about 10.8. That suggests momentum has shifted back in favor of buyers.
The next test is whether SNDK can decisively clear the recent $1,800-to-$1,900 resistance zone. A move through $2,000 could signal another leg higher, while failure to break that level could leave the stock consolidating before its next major move.
Can Sandisk Reach $2,400?
Rosenblatt’s $2,400 target suggests that Sandisk can maintain a meaningful technological and cost advantage while benefiting from sustained AI storage demand.
Reaching that level will probably require several things to go right. AI companies must continue building data centers, storage requirements must keep expanding, and SanDisk will need to turn its BiCS technology into stronger revenue, margins and cash flow.
Still, the underlying argument is compelling.
Artificial intelligence does not depend on processors alone. Advanced models also require fast networking, enormous amounts of power and increasingly sophisticated storage. As these systems become more data-intensive, NAND flash could become far more valuable to the broader AI ecosystem.
Sandisk’s substantial rally means investors should expect volatility and avoid assuming the stock can climb indefinitely. But if NAND is truly evolving from a commodity into a critical AI component, Sandisk may have an opportunity to grow into its lofty expectations and potentially make Rosenblatt’s $2,400 target look less extreme than it appears today.
Keep an eye on it for a big opportunity moving forward.
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