Sandisk Drops 10% After $10.3 Billion-$10.8 Billion Q1 Outlook Misses Despite $8.97 Billion Q4 Beat
Updated
Updated · Yahoo Finance · Aug 6
Sandisk Drops 10% After $10.3 Billion-$10.8 Billion Q1 Outlook Misses Despite $8.97 Billion Q4 Beat
3 articles · Updated · Yahoo Finance · Aug 6
Summary
Sandisk shares fell 10% early Thursday after its fiscal Q1 2027 revenue outlook of $10.3 billion to $10.8 billion landed below Wall Street's $10.8 billion expectation.
Q4 2026 results were far stronger: non-GAAP earnings reached $39.25 a share on $8.97 billion in revenue, with sales growth accelerating to 372% year over year.
AI memory demand remained the main driver, lifting data center revenue 103% sequentially to $2.98 billion and helping full-year sales jump 175% to $20.2 billion from $7.4 billion.
Management said the underlying business had not weakened, citing more than four years of demand visibility, while Barclays highlighted five new NBM deals worth $94 billion in minimum revenue.
The selloff followed a nearly 500% run in the stock this year, underscoring how even a modest guidance miss can outweigh strong execution in a market focused on whether memory growth has peaked.