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Sandisk stock sinks as revenue forecast falls short of expectations
Yahoo Finance • • business
Key Points:
- Sandisk (SNDK) shares dropped 4% in after-hours trading after the company issued fiscal Q1 revenue guidance of $10.3 billion to $10.8 billion, below analyst estimates of $11.16 billion.
- Despite the cautious outlook, Sandisk reported fiscal Q4 revenue of $8.79 billion, surpassing consensus estimates of $8.64 billion, driven by higher volumes and pricing.
- The company delivered adjusted Q4 EPS of $39.25, beating estimates of $34.37, and forecasted Q1 adjusted EPS between $44 and $46, slightly below the $45.58 consensus.
- Sandisk expanded its share repurchase program by authorizing an additional $14 billion buyback, signaling confidence in the business despite the cautious revenue forecast.
- Having spun off from Western Digital in early 2025, Sandisk's stock has surged nearly 490% year-to-date, benefiting from strong demand in AI infrastructure, with robust Wall Street support and recent collaboration with SK Hynix on AI chip memory standards.
