SANDISK (=) : Thoughts From The Road

研报英文原文证据摘录

SANDISK (=) : Thoughts From The Road

EQUITIES

IT HARDWARE

SANDISK NEUTRALPRICE* USD1,542  TARGET PRICE USD1,200 (DOWNSIDE 22%)

FLASH NOTE

Thoughts From The Road

22 MAY 2026 Securities Research Report Production time: 05:53* (London time)

Research Analyst & Publishing Entities

Karl Ackerman, CFA BNP Paribas Securities Corp (1) (+1) 415 846 1575 karl.ackerman@us.bnpparibas.com

What happened?

Earlier this week, we had the opportunity to host SanDisk’s executive team and investors for a group dinner, including

David Goeckeler, Chairman & CEO; Luis Visoso, CFO; and Ivan Donaldson, VP of IR. The discussion was focused on

the durability of the NAND upcycle and the structure of SanDisk’s multi-year supply agreements.

BNPP View:

Increasing AI inferencing and content generation workloads are necessitating greater server SSD capacity. Additionally,

we believe prudent capacity additions serviced predominantly by node transitions is helping drive favorable NAND

market conditions through 2026. While we expect disciplined capital investments and financial commitments on LTAs

to offer more durable through-cycle profitability, we remain Neutral given our view that bit supply is artificially constrained

by industry peers today while the economic incentive to drive bit density increases materially as margins have

expanded.

Key Takeaways

- New Business Model: SanDisk is focused on transforming their business model to better align supply with

customer demand to drive durable profitability and mitigate cyclicality. This is enabled by New Business Models

(NBMs), or multi-year supply agreements. We believe these agreements include monthly demand forecasts with

increasing volume throughout the life of the contract. We expect the transition away from quarterly contracts offers