Sandisk returned to public markets in 2025 as a spinoff from Western Digital, marking its second time as a publicly traded company. The move followed its acquisition by Western Digital for $19 billion in 2016.
Over the past 11 months, Sandisk's stock has risen approximately 1,050%. An investment of $100 on February 13, 2025, would have grown to nearly $1,150 by market close on January 15.
The spinoff enabled Sandisk to concentrate solely on its flash memory business. Flash memory provides high-speed digital storage, with demand surging due to the artificial intelligence boom, as data centers require substantial storage capacity.
AI training relies on vast amounts of data, necessitating storage solutions. This increased demand led to a supply shortage, allowing Sandisk to raise prices for its storage products significantly.
In its latest quarter ending October 3, Sandisk's data center revenue increased 26% from the previous quarter to $269 million. This segment was among the company's fastest-growing areas.
The Motley Fool Stock Advisor analyst team recently identified 10 stocks they consider the best for investors to buy now, excluding Sandisk. They noted that these 10 stocks could yield substantial returns in coming years.
Historical examples include Netflix, added to the list on December 17, 2004, where a $1,000 investment would have grown to $474,578, and Nvidia, added on April 15, 2005, where a $1,000 investment would have reached $1,141,628.
Stock Advisor's total average return is 955%, outperforming the S&P 500's 196% return. The service offers access to its latest top 10 list and an investing community for individual investors.