EXCLUSIVE: SanDisk Has ‘More Upside,’ Says Nicholas Mugalli — His $3,000 Target Implies a 102% Rally for SNDK

SanDisk Corp. (NASDAQ:SNDK) could rise about 102% to $3,000 over the next two years, according to Nicholas Mugalli, CEO and principal of World Trade Securities, who says projected earnings could leave the stock trading at less than nine times earnings even at that price. Mugalli Sees Roughly $330 In Future EPS Mugalli based his valuation on Mizuho’s FY2030 revenue estimate of more than $80 billion and SanDisk’s long-term financial framework, which calls for approximately 75% non-GAAP operating margins. "As for SanDisk, Mizuho has FY2030 revenue above $80 billion," Mugalli told Benzinga exclusively. Using those assumptions and about 155 million shares, Mugalli estimates earnings could reach roughly $330 per share. "$3,000 is less than 9 times that…if you know what I mean," he said. A price-to-earnings ratio compares a company’s share price with its earnings per share. At $3,000, dividing the share price by Mugalli’s roughly $330 EPS estimate produces a multiple of about 9.1 times. Mugalli said his investment horizon for both SanDisk and Micron Technology Inc. (NASDAQ:MU) is 24 months. SanDisk closed Monday at $1,487.33, making a move to $3,000 equivalent to roughly 101.7% upside from that level. Read Also: EXCLUSIVE: MU Stock Could Soar 190% and Hit $3,000 In 24 Months — Wall Street Bull Says Math Is 'Pretty Simple, Frankly' Contract Commitments Support SanDisk Thesis Mugalli also pointed to SanDisk’s customer commitments when discussing the stock’s upside potential. "SanDisk has probably more upside and the cleaner contract story," he said. He said about half of SanDisk’s fiscal 2027 bits and two-thirds of its fiscal 2028 bits are already committed. Mugalli also highlighted high-bandwidth flash, or HBF, saying it represents "an option you aren’t paying for." Analysts Maintain Buy Consensus Benzinga Pro shows a Buy consensus on SanDisk from 18 analysts, with 17 Buy ratings and one Hold. The average price target stands at $1,651, implying about 13.5% upside. Recent actions include Mizuho’s Oct. 6 Outperform rating with a $2,050 target and Rosenblatt’s Sept. 22 initiation at Buy with a $2,400 target. Rosenblatt analyst Kevin Cassidy based the $2,400 target on 10 times estimated fiscal 2028 non-GAAP EPS of $240, arguing AI could move NAND closer to a system-critical role in infrastructure rather than a traditional commodity storage product. The firm estimates SanDisk’s New Business Model agreements cover more than half of fiscal 2027 bits and about two-thirds of fiscal 2028 bits, potentially improving demand visibility and reducing the amplitude of the NAND cycle. Rosenblatt also does not include HBF revenue in its estimates, leaving potential upside from High Bandwidth Flash outside its base case. Earnings Next In Focus SanDisk is scheduled to report its first-quarter earnings on Oct. 29. According to Benzinga, analysts expect earnings of $46.0 per share and revenue of $10.67 billion, compared with $1.22 per share and $2.31 billion, respectively, a year earlier. At the last check, the stock was 3.52% lower in overnight trading. It was higher by 1172.20% over the last year, 526.56% year-to-date, and lower by 8.94% over the last month. The stock closed down 5.97% at $1,487.33 on Monday. Benzinga’s Edge Stock Rankings indicate that SNDK maintains a strong price trend in the long term but a weak trend in the short and medium terms, with a bad value score. Read Also: MU and SNDK are ‘Just Unbelievable’ Bargains as Mizuho Reiterates Bullish Stance on Memory Stocks Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo courtesy: jejim from Shutterstock