JPMorgan Chase upgrades Sandisk's rating to Overweight, with a target price of $2,250.

According to CNBC, JPMorgan Chase has upgraded its rating on SanDisk (SNDK) from Neutral to Overweight, setting a $2,250 target price that implies roughly 47% upside from Thursday’s closing level. SanDisk’s stock has surged 544% so far this year. JPMorgan analyst Harlan Sur noted that the rapid growth of AI inference is driving a structural inflection point in NAND demand, leaving SanDisk uniquely positioned to benefit. The acceleration of AI applications has lifted storage demand and created supply tightness. At its New York Investor Day, SanDisk disclosed it will adopt a new business model including structured pricing mechanisms and advance payment agreements with major clients. JPMorgan said this framework is expected to boost the company’s profit margins and reduce its business cyclicality. To date, SanDisk has signed 8 related long-term agreements, with a total contract value of approximately $94 billion based on the price floor, and a weighted average contract term of over four years. LSEG data shows that among the 25 analysts covering SanDisk, 22 have assigned a Buy or Strong Buy rating, while the remaining 3 have given a Hold rating.