Jefferies cut its price target on SanDisk to $1,750 from $3,000 on Thursday, a 42% reduction. The call came only six weeks after the bank set the $3,000 target on June 26.
The downgrade landed a day after SanDisk reported what Protos described as the best quarterly earnings in the company’s history. Even with those results, the stock has kept falling.
Record quarter beat guidance across the board
SanDisk’s latest quarterly revenue rose 372% from a year earlier to $8.97 billion. That was well above the company’s own guidance range of $7.75 billion to $8.25 billion.
Non-GAAP gross margin came in at 84.6%, up from 26.4% a year earlier and above SanDisk’s 79% to 81% guidance range. Non-GAAP earnings reached $39.25 per share, beating the FactSet analyst consensus by more than 12%.
Protos said the quarter’s key numbers were uniformly strong. Data center revenue, a business SanDisk had spent a year building, climbed 103% in a single quarter to $2.98 billion.
Chairman and CEO David Goeckeler told analysts that the company “delivered record revenue, gross margin, and earnings per share, each above the high end of our guidance, and repurchased $4.5 billion of company stock.” The board later authorized another $14 billion of share buybacks.
Shares are still down 25% over the past month
Those headline figures did not stop the stock from sliding. SanDisk has lost 25% of its value over the past month, according to the report, and analysts have been cutting their estimates.
- Susquehanna reduced its target by 6%
- Evercore cut its target to $2,800 from $3,100
- Citi lowered its target to $2,100 from $2,500
- Jefferies made the deepest cut, reducing its target by 42%
A TradingView chart included in the report shows Nasdaq:SNDK from June 2026 to the present.
First break in Jefferies’ up-only sequence
For Jefferies, the move to $1,750 marked its first break in an otherwise uninterrupted run of target increases. Analyst Blayne Curtis had raised Jefferies’ SanDisk target seven times since July 2025, taking it from $60 to $3,000, while keeping a buy rating at every step.
Morgan Stanley analyst Joseph Moore reached a $1,750 target on June 3 and left it unchanged through both SanDisk’s record earnings report and the stock’s decline.
As Protos put it, Jefferies has now spent nine weeks arriving at the same $1,750 figure by way of $3,000.