Sandisk (SNDK +7.40%) started trading as a separate entity on the stock market in February last year after being spun off from Western Digital. A $1,000 investment in Sandisk stock following its listing is now worth more than $45,000, as of this writing.
This multibagger performance has been driven by the incredible demand for NAND flash storage, which is being deployed in artificial intelligence (AI) data centers to store the large volumes of data required for training models and running inference workloads. Investors, however, may now be wondering if there is more upside in store for this semiconductor stock following the astronomical gains it has clocked since its listing.
The good news is that Sandisk stock’s red-hot surge isn’t over yet. If you’ve $1,000 in investible cash right now, you can consider buying shares of Sandisk with that money, as it can significantly increase your wealth. Here’s why.
Image source: Getty Images.
Sandisk’s addressable market is poised to jump significantly
Sandisk management noted in its 2026 investor day presentation that its addressable market is poised to jump by more than 3x this year to $300 billion. Even better, the company sees the NAND flash market growing to $500 billion in 2027, with half of the revenue opportunity coming from data centers.
Today’s Change
(7.40%) $113.00
Current Price
$1,641.11
Key Data Points
Market Cap
Day’s Range
$1565.00 – $1667.19
52wk Range
$43.20 – $2354.39
Volume
21M
Avg Vol
13.7M
Gross Margin
71.47%
Sandisk reported $20 billion in revenue in the recently concluded fiscal 2026 (which ended on July 3), with the metric growing by 175% from the prior year. So, the company is scratching the surface of a massive opportunity that should allow it to sustain its phenomenal growth rate for years to come. It won’t be surprising to see Sandisk’s addressable market becoming bigger by 2030, driven by the growing adoption of agentic AI applications.
An important point worth noting here is that Sandisk controlled an 11% share of the NAND flash market in Q2. A similar share at the end of 2027 will take its revenue to $55 billion, based on the $500 billion addressable market estimate seen earlier. That’s almost thrice the revenue Sandisk achieved in the latest fiscal year.
Meanwhile, analysts are forecasting a 141% increase in Sandisk’s revenue in fiscal 2027 to $49 billion, followed by a slowdown to almost 20% in fiscal 2028.
Data by YCharts
The chart above also shows that consensus estimates project a decline in Sandisk’s revenue in fiscal 2028. However, the company has put such concerns to rest at its latest investor day. Sandisk predicts that it can clock mid-to-high teens revenue growth between fiscal 2028 and fiscal 2030.
What’s more, it expects non-GAAP gross margin to remain at 80% during this period, which is higher than the 71.6% gross margin it reported in fiscal 2026. So, Sandisk seems poised to clock healthy bottom-line growth over the next five years, potentially outpacing consensus expectations that predict a drop in its bottom line after a couple of years.
Data by YCharts
Here’s what a $1,000 investment in Sandisk will be in 2030
We have seen earlier in the article that analysts anticipate Sandisk’s revenue to jump to $58 billion in fiscal 2028. The company expects its annual revenue growth to be in the mid- to high-teens between fiscal 2028 and 2030. Assuming its revenue grows at 15% a year in fiscal years 2029 and 2030, its top line could jump to $77 billion after four years.
The U.S. tech sector has an average price-to-sales ratio of 7.6. If Sandisk stock trades at this valuation after four years, its market cap could increase to $585 billion. That’s 2.4x higher than its current market cap. So, an investment of $1,000 in Sandisk right now could be worth more than $2,400 by 2030.
However, I have assumed a conservative sales multiple in my calculation. Sandisk currently trades at 10 times sales, a slight premium to the tech sector. That premium can be justified by the company’s rapid revenue growth. So, this AI stock seems poised to deliver bigger gains over the next four years as it could be rewarded with a premium valuation, making it an ideal bet for investors looking to buy a high-growth company.
