Sandisk Announces 8-for-1 Stock Split and Sees Data Centers Passing 55% of NAND Demand in 2027
Long-term supply agreements already exceed capacity through the end of the decade, and about 95% involve investment-grade customers.
Sandisk (SNDK) announced an 8-for-1 forward stock split and said data centers should account for more than 55% of NAND memory demand in 2027, up from about 50% today, as AI infrastructure spending drives growth and tightens long-term supply. The split takes effect after the close on Nov. 19, with split-adjusted trading starting Nov. 20. Sandisk also said its pipeline of long-term supply agreements exceeds its available capacity through the end of the decade.
How the split works
| Item | Detail |
|---|---|
| Ratio | 8-for-1 forward split; seven additional shares for each share held |
| Record date | Close of business Nov. 9, 2026 |
| Shares issued | After the market close on Nov. 19, 2026 |
| Split-adjusted trading | Market open on Nov. 20, 2026 |
| Effect | Market value and ownership percentages are unchanged |
Sandisk said the split makes the stock more accessible, including through its employee stock purchase plan. Shares traded near $1,300 before the report, so a share at that level would become eight shares worth about $163 each, by our calculation. Per-share figures in Sandisk's guidance, including second-quarter adjusted EPS of $55 to $57, are stated before the split and would be about $6.88 to $7.13 after it, by our calculation.
Data centers take a larger share of NAND
| Measure | Outlook |
|---|---|
| Data center share of NAND demand | More than 55% in 2027, from about 50% today |
| Data center NAND bit demand | Up about 40% in 2027, after more than doubling in 2026 |
| Fiscal 2027 bit supply committed | About 50% |
| Fiscal 2028 bit supply committed | About two-thirds |
| Long-term agreement pipeline | Exceeds available capacity through the end of the decade |
Additional long-term agreements are expected. Sandisk's chief financial officer said about 95% of the long-term agreements involve investment-grade companies with roughly $130 billion in operating cash flow, which supports confidence in both future demand and payment. The commitments give Sandisk visibility that is unusual for a memory maker, but they also tie its supply to a small group of large customers.
What the quarter showed
The outlook follows a quarter in which revenue rose 23% from the prior quarter and 378% from a year earlier to $11.03 billion, with a non-GAAP gross margin of 85.1%. Data center revenue rose 61% from the prior quarter to $4.8 billion, about 44% of total revenue by our calculation, while Edge revenue was $5.8 billion and Consumer fell 29% to $397 million. Sandisk spent $5.0 billion on buybacks in the quarter and generated $6.3 billion of free cash flow. For the full results, see our Sandisk earnings article.
Sources: Sandisk's fiscal first quarter 2027 results (SEC filing) and earnings release on Sandisk investor relations; demand and supply commentary is from management remarks on the earnings call. This is informational, not a recommendation to buy or sell.
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