Sandisk shares surge 7.27% after-hours after beating Q1 estimates and raising Q2 guidance on strong data center demand.

Sandisk (SNDK) surged 7.27% in after-hours trading following a robust earnings report and raised guidance driven by strong data center demand. The memory-chip maker reported Q1 revenue of $2.31 billion, exceeding estimates of $2.15 billion, while non-GAAP earnings of $1.22 per share outpaced expectations of $0.93. The company also raised Q2 guidance, forecasting $2.6 billion in revenue and $3.20 in adjusted EPS, well above analyst estimates. CEO David Goeckeler highlighted growing demand from AI-driven hyperscale data centers, with five major clients engaged. Analysts responded by raising price targets, including Mizuho ($250), Morgan Stanley ($263), and Benchmark ($260), citing durable demand and limited supply growth. The stock’s rally reflects confidence in sustained pricing power and capacity constraints in the NAND memory market, positioning Sandisk for continued outperformance amid the AI upcycle.