SanDisk's Split Calendar Meets a $2,500 Bull Case as Memory Stocks Retreat

SanDisk shares fell 5.3% on Friday, closing at €805.00 as a broad selloff in semiconductor and memory names dragged the stock lower. Micron and SK hynix slipped alongside it, with press reports tying the weakness to concerns over NAND competition and spending on AI infrastructure.

The drop came just two days after Evercore ISI reaffirmed its "Outperform" rating on SanDisk and kept a $2,500 price target, arguing that investors are underestimating structural changes in the company's NAND business. That call sits at the heart of the debate: how much confidence does a business outlook deserve when the market is simultaneously re-examining its expectations for the wider industry trend?

Reported Results Versus What Comes Next

SanDisk's own numbers provide the company-specific counterweight to the nervous sector talk. On October 29, it reported revenue of $11.0 billion for its first fiscal quarter of 2027, with adjusted diluted non-GAAP earnings per share of $49.51. Those figures describe results already booked, whereas the worries about future infrastructure investment concern what has yet to materialize. Keeping the two levels apart—without ignoring either—is the sober way to read the situation.

The outlook carries the heavier burden of proof. For the second fiscal quarter of 2027, SanDisk projected revenue of between $12.2 billion and $12.6 billion, implying a higher top line than in the quarter just reported. Adjusted diluted non-GAAP earnings per share for the same period are forecast at $55.00 to $57.00, also above the prior result. Both remain expectations rather than banked achievements—which is precisely why the discussion should neither stop at the share-price decline nor treat the guidance as a guarantee.

Eight-for-One Split Set for Mid-November

Layered on top of the operating story is a capital-markets event. SanDisk has announced an eight-for-one stock split, with the additional shares scheduled for issuance after the close on November 19. Shareholders of record as of November 9 are to receive seven extra shares for each one held. Trading on a split-adjusted basis is set to begin on November 20 under the announced timetable, placing the share issuance and the trading switch on two consecutive days.

That adjustment is mechanical: it changes the share count and the per-share price, not the value of anyone's holding. The next confirmed date on the corporate calendar is the annual general meeting on November 17, 2026, which offers no advance read on operations.

The Test That Matters

Strip away the split mechanics and the Friday tape, and the benchmark stays simple. SanDisk has put rising business figures in front of investors while the market weighs risks across memory and AI. Whether the company delivers on its guidance is the real proving ground. Friday's loss reflects market skepticism; the announced business trajectory supplies the more concrete yardstick against which that skepticism must be measured.