SanDisk shares pull back sharply despite a 580% gain in 2026 as memory chip demand outstrips supply for AI data centers.
SanDisk (NASDAQ: SNDK) has surged 580% in 2026 but dropped over 30% from its late June high. The decline follows a broader pullback in memory chip stocks despite persistent supply constraints.
NAND memory demand, driven by AI data center expansion, continues to exceed production capacity. Prices for memory chips have climbed, impacting costs for PCs and smartphones. Analysts expect the shortage to persist beyond 2030, extending the current upcycle.
The stock’s recent weakness may present a buying opportunity as AI infrastructure growth sustains long-term demand for high-performance storage solutions.