Morgan Stanley Lifts SanDisk (SNDK) PT, Maintains Overweight Amid Memory Stock Concerns.

Sandisk Corporation (NASDAQ:SNDK) is one of the best new stocks to invest in. On November 24, Morgan Stanley raised the firm’s price target on SanDisk to $273 from $263 and kept an Overweight rating on the shares. This sentiment was posted amid concerns regarding increased capital spending and the potential easing of supply shortages that led to a selloff in memory stocks.

However, Morgan Stanley contends that this market reaction is unwarranted and does not impact the firm’s fundamental, positive view of the overall sector. The firm argues that reports indicating a tightening supply of memory chips actually point toward very strong earnings for these companies in the near future.

Earlier in the same month, SanDisk Corporation announced a strong financial performance for FQ1 2026 earnings, where the company achieved a record revenue of $2.3 billion, a sequential increase of 21% and a year-over-year rise of 23%. Non-GAAP EPS saw a jump to $1.22, up from $0.29 in the prior quarter. The company also reduced Inventory Days from 135 to 115. The company now projects revenue to be between $2.55 and $2.65 billion in FQ2.

Sandisk Corporation (NASDAQ:SNDK) develops, manufactures, and sells data storage devices and solutions using NAND flash technology in the US, Europe, the Middle East, Africa, Asia, and internationally.

While we acknowledge the potential of SNDK as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.