Sandisk Shares Fall Over 13% Despite Beating Quarterly Earnings Estimates
Sandisk (SNDK) experienced a significant sell-off following its fiscal 2027 first-quarter earnings report, with shares dropping over 13%. Although the company reported revenue of $11 billion and earnings per share of $52.60—both exceeding Wall Street expectations—investors reacted negatively to the magnitude of the beat and concerns regarding a potential slowdown in AI data center expansion. While NAND memory demand remains strong, evidenced by a 1,700% year-over-year increase in data center revenue, Sandisk's Edge commercial unit missed revenue estimates. Furthermore, management provided cautious guidance for the upcoming quarter, forecasting growth to slow to between 11% and 14.5% quarter-over-quarter. This deceleration, combined with the cyclical nature of the semiconductor industry, has contributed to a broader downward trend in the stock since July.
Tickers: $SNDK
Topics: AI data center demand earnings report NAND memory stock price drop
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