Sandisk's stock has surged over 1,000% in recent months, driven by escalating demand for high-capacity nearline storage in AI infrastructure. Analysts project continued momentum as large-scale AI models expand, increasing reliance on NAND flash memory solutions.
- Sandisk stock surged over 1,000% in 24 months
- AI-driven data storage demand growing at 38% CAGR through 2030
- Nearline storage to account for 40% of new data center capacity
- Data center and AI segments generated $1.8 billion in Q4 2025
- Enterprise product gross margin at 64%
- Market cap exceeds $85 billion as of January 2026
Sandisk’s stock has climbed more than 1,000% over a 24-month period, marking one of the most dramatic rallies in the semiconductor storage sector. This surge follows growing demand for scalable, high-density memory systems to support the exponential growth of artificial intelligence models, particularly in data centers and cloud computing environments. The company's NAND flash technology is increasingly critical for nearline storage—where data is kept accessible but not actively in use—enabling efficient handling of massive datasets generated by AI training and inference workloads. The shift toward larger AI models has intensified the need for storage solutions that balance speed, capacity, and cost. Industry estimates suggest that global AI-related data storage requirements will grow at a compound annual rate of 38% through 2030, with nearline storage accounting for over 40% of new capacity investments. Sandisk’s portfolio of enterprise-grade SSDs and memory cards is well-positioned to capture this expansion, particularly in hyperscale data center deployments. Analysts note that Sandisk’s revenue from data center and AI-focused segments grew 67% year-over-year in the last fiscal quarter, reaching $1.8 billion. This segment now represents 42% of total revenue, up from 28% in 2023. Meanwhile, the company’s gross margin on enterprise products has stabilized at 64%, reflecting strong pricing power and manufacturing efficiency. The broader market is responding, with Sandisk’s market capitalization exceeding $85 billion as of January 2026. Competitors like Seagate and Micron are also seeing elevated demand, but Sandisk’s focus on high-performance NAND and strategic partnerships with major cloud providers give it a competitive edge. Investors are increasingly viewing the company as a core play on the AI storage infrastructure wave.