Goldman Sachs Maintains Buy Rating for SanDisk, Target Price $2,200

According to Tide Research, Goldman Sachs' August 13 research report stated that SanDisk disclosed a compound annual growth rate (CAGR) for revenue of mid-to-high double digits from FY28 to FY30, with a gross margin of 80%, operating profit margin of 75%, and free cash flow profit margin exceeding 50%. Management plans to return 100% of excess free cash flow, with a remaining buyback authorization totaling approximately $15.5 billion. SanDisk has signed contracts with 8 clients, with a total contract value of approximately $94 billion. Goldman Sachs maintains its Buy rating for SanDisk and a target price of $2,200, based on a 20x price-to-earnings (P/E) ratio multiplied by normalized earnings per share (EPS) of $110. The current stock price is approximately $1,344, implying a 64% upside potential.