Is flash storage driving growth?
Sandisk Corp designs and sells data storage products, focused on flash memory and related storage solutions. The business serves customers that need storage in devices, PCs, and data-centric systems. Revenue is tied to selling storage products across these end markets, where product cycles and pricing can shift quickly. The company operates at large scale, reflected in a market value of about USD 147.9 billion.
Can revenue growth offset deep losses?
FundamentalsFor the year ended June 27, 2025, reported in USD, revenue was USD 7.36 billion, while EBIT was -USD 1.38 billion and net income was -USD 1.64 billion. Over the same period, revenue grew 57.2% year over year, alongside a TTM gross margin of 34.81% but negative operating and net margins.
Cash was USD 1.48 billion against USD 40 million of total debt, with depreciation and amortization of USD 163 million and capital expenditure of USD 204 million. Based on the provided cash-flow proxy (excluding working-capital changes), cash generation was -USD 1.13 billion.
Is the market pricing a full recovery?
DCF / MultiplesAt USD 1,002.35 per share, the stock price sits far above the DCF outcomes, which are negative across the range from a weaker scenario to a stronger one. In other words, the current quote is not just above the model’s fair-value band; it is detached from it.
That pricing also lines up with a high sales multiple (17.69x), even as the business is currently reporting losses, which makes the market’s valuation hinge more on a durable rebound than on today’s earnings power.
Profitability Must Return
TakeawayThe current price assumes a durable return to real profitability. That requires margins to move decisively back into positive territory. Cash burn has to reverse and stay reversed. If losses persist, the valuation has little fundamental support. Volatility is part of the setup, and it can cut both ways.