Cramer Eyes SanDisk Amid Looming NAND Shortage, Analysts Bullish on Price Surge
Memory storage giant SanDisk Corporation (NASDAQ:SNDK) has captured the attention of Wall Street, with its shares surging by triple-digit percentages since the start of 2025. The rally comes as analysts sound the alarm over a potential severe shortage of NAND flash memory wafers, a key component in data storage, projected for 2026 and 2027.
In a recent analysis, Mizuho Securities significantly raised its price target for SanDisk to $600 from $410, maintaining an Outperform rating. The firm pointed to the company's strong pricing power in the NAND and DRAM markets, driven by constrained supply. "Our checks indicate NAND wafer capacity will fall critically short over the next two years," a Mizuho report stated, projecting this could trigger a dramatic price increase of up to 330% in 2026 alone.
Echoing this sentiment, Benchmark also lifted its target in January to $450 from $260, citing similar capacity concerns as a primary driver for its continued Buy rating. The looming shortage has also put SanDisk on the radar of prominent market commentator Jim Cramer, who recently discussed the stock's prospects in light of these industry-wide constraints.
The potential supply crunch underscores the fragile dynamics of the global semiconductor supply chain, where geopolitical tensions and concentrated manufacturing can lead to volatile price swings. For SanDisk, a leader in flash memory, such a scenario could significantly bolster margins and revenue in the coming years.
Market Voices: Reactions from the Floor
Michael Torres, Portfolio Manager at Horizon Capital: "This isn't just a short-term trade. The structural supply-demand imbalance in NAND, coupled with SanDisk's portfolio, positions it for sustained outperformance. Mizuho's $600 target might seem aggressive, but it's grounded in hard capacity data."
Lisa Chen, Tech Analyst at Broadview Research: "While the shortage narrative is powerful, investors should be cautious. Memory cycles are notoriously cyclical. Today's shortage premium could quickly evaporate if demand from consumer electronics softens or if capacity expansions are accelerated."
David "Rusty" Miller, Independent Trader: "Here we go again. Wall Street creates a frenzy over a 'shortage' to pump up prices. Cramer and these analysts are talking their book. A 330% price hike prediction? That's pure fantasy designed to lure in retail investors before the inevitable correction. Don't be the last one holding the bag."
Arjun Patel, Supply Chain Consultant: "The capacity warnings are very real. This isn't 2021 all over again; it's a different beast. The capital expenditure required for new NAND fabs, combined with longer lead times, means the supply response will be slow. SanDisk is a direct beneficiary."
Disclosure: This analysis is based on publicly available information and analyst reports. It is for informational purposes only and not investment advice.