SanDisk initiated with an Overweight at Cantor Fitzgerald

Cantor Fitzgerald analyst C.J. Muse initiated coverage of SanDisk with an Overweight rating and $60 price target. Cantor Fitzgerald initiated coverage of SanDisk (SNDK) with an Overweight rating and $60 price target following the split between Western Digital (WDC) HDDCo and NANDCo. Cantor sees “numerous” positive catalysts ahead, including a recovery in the NAND market in the second half of 2025, elongated cycles driven by build-to-demand and supply-side actions limiting bit growth, a strong balance sheet with a net cash position expected in the coming year, a “compelling” through-cycle target financial model, strong free cash flow generation ability, and an industry-leading capital intensity advantage, cost structure, and roadmap, the analyst tells investors in a research note. Cantor finds the risk/reward profile positively biased despite some risks, which include a potentially more muted than expected second half recovery.