The massive surge for memory products has hit a speed bump as a major market milestone triggers a burst of selling. On Monday, April 20, 2026, Sandisk (SNDK) officially joined the Nasdaq 100, replacing software maker Atlassian (TEAM). Despite this huge promotion, shares fell 1.6% in early trading to $906.48 as investors used the news to lock in gains after a year of unbelievable growth.
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Trade SNDK with leverageSandisk Joins the Elite as Investors Cash Out
The company is trading its spot on the sidelines for a seat at the table with the world’s biggest tech giants.
Joining the Nasdaq 100 is a mechanical event that forces large funds to buy millions of shares to match the index. However, this often leads to a “sell the news” reaction where the price drops once the move is official. Sandisk stock has climbed an incredible 2,990% over the past year, and many traders are now choosing to take their profits.
The drop is also being fueled by renewed worries about peace talks in the Middle East. A flare-up in tensions between the U.S. and Iran has made the entire market nervous, causing the S&P 500 to slip and dragging high-flying tech stocks down with it.
Wells Fargo Analyst Drastically Increases Price Target to $975
While the stock is seeing a small dip today, one of Wall Street’s top experts believes the long-term story is only getting stronger.
Wells Fargo (WFC) analyst Aaron Rakers reiterated a “Hold” rating on the stock today but made waves as he drastically increased his price target from $675 to $975. In his report from this morning, Rakers noted that while he is cautious about the current high price, he cannot ignore the “unprecedented” demand for storage. He stated that the shift toward AI is creating a “structural step-function increase in NAND bit demand” that will likely keep the company’s factories running at full speed for years.
Essentially, the analyst believes the company is worth much more now. This change comes from its major role in the AI data center boom and led him to raise his target significantly.
Data Center Construction Drives a Massive Memory Supercycle
The underlying reason for SNDK stock’s historic run is a global building project that shows no signs of slowing down.
Sandisk is a major player in the race to build the technology that powers the artificial intelligence revolution. Every new AI model requires massive amounts of flash memory to store and process data, and Sandisk is one of the few companies that can provide these products at scale. The company is expected to swing from a loss last year to a massive $14.30 per share profit in its upcoming earnings report.
While the stock is down today, the fact that it is now a core part of the Nasdaq 100 means it will be a permanent fixture in the portfolios of the world’s largest investors for the foreseeable future.
Is Sandisk a Good Stock to Buy?
Wall Street currently maintains a Strong Buy consensus for Sandisk, with 11 analysts calling it a Buy and three rating it a Hold. The average 12-month SNDK price target sits at $925.71, which implies about 0.5% upside potential.
