SanDisk stock price target raised to $690 from $483 at Morgan Stanley

Morgan Stanley has significantly updated its outlook on Western Digital (the parent company of SanDisk), raising the stock's price target from $483 to $690. This substantial upward revision reflects a growing optimism regarding the company’s strategic position within the semiconductor and data storage markets. Analysts point toward a robust recovery in NAND flash memory pricing and a surge in demand driven by the rapid expansion of artificial intelligence (AI) infrastructure, which requires massive high-speed storage capacities. The adjustment comes at a critical juncture for the company as it prepares for a planned separation of its HDD (Hard Disk Drive) and Flash business units. Financial experts argue that this corporate restructuring will unlock significant shareholder value by allowing each entity to focus on its specific market dynamics and capital allocation strategies. The new price target suggests that Morgan Stanley views the company as undervalued relative to its long-term growth potential in both consumer electronics and enterprise-level data centers. Furthermore, the inventory correction phase that plagued the storage industry throughout the previous year appears to have concluded. With supply chains stabilizing and major cloud service providers resuming large-scale procurement, Western Digital’s SanDisk brand is positioned to benefit from improved margins. The $690 target represents a high-conviction call from the investment bank, signaling that they expect the company to outperform its peers as the memory cycle enters a sustained period of profitability and technological transition.