Sandisk Is Dominating the S&P 500 in 2026. Can It Repeat in 2027?

Sandisk (SNDK) has gained roughly 500% in 2026, making it the second-best performer in the S&P 500 this year. The driver is heavy demand for NAND memory chips in AI data centers.

The company is moving customers toward long-term contract agreements. The stated aim is to reduce cyclicality and lock in pricing, a notable shift for a business historically tied to swings in memory prices.

Valuation is the core of the bull case. SNDK trades at just 6.5x forward earnings, a multiple that, by the source's account, reflects a market not yet pricing in 2027 growth. Analysts cited in the piece argue the stock could triple in 2027 if the company meets expectations.

Interpretation: a 6.5x multiple after a 500% run suggests investors are treating current earnings as peak-cycle and discounting their durability. The contract shift is the mechanism that could challenge that view. If pricing locks hold, the market may have to rerate earnings it currently treats as temporary.

Note that the triple-in-2027 scenario is conditional on SNDK meeting expectations, not a base-case forecast.