SanDisk Corporation stock rose 7.4% on Friday following analyst re-ratings and long-term revenue commitments.
SanDisk Corporation shares increased by 7.4% on Friday as analysts re-rated the stock based on the company's long-term financial model. While the stock gained 13.7% during a public investor day on Thursday, Friday's gains were driven by sell-side visibility into the company's output. Management reported that more than half of the bits for fiscal 2027 are already committed through multi-year agreements with eight Datacenter and Edge customers. These contracts cover over 50% of fiscal 2027 bits and roughly two-thirds of fiscal 2028, providing over $93.9 billion in revenue at floor pricing. This shift from quarterly transactions to multi-year commitments provides significant financial durability. Although the growth forecast begins in fiscal 2028, the company expects a non-GAAP gross margin of 83% to 85% for fiscal Q1 2027. The stock remains nearly 30% below its 52-week high, continuing a recovery from its recent low.
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