Sandisk Corporation (NASDAQ:SNDK) stock surged Friday as technology stocks rallied and investors remained bullish on artificial intelligence-driven demand for memory infrastructure.
The broader tech sector gained after Federal Reserve Gov. Christopher Waller eased concerns about an immediate U.S. interest-rate hike. Nasdaq futures rose 0.47%, while S&P 500 futures were little changed.
Strategist Remains Bullish On Memory Stocks
Roundhill Investments Chief Investment Strategist Drew Pettit remains bullish on memory stocks after their recent pullback.
He told CNBC that rising contract prices and stronger long-term estimates support the sector, with industry revenue potentially tripling by 2030.
Pettit said the recent correction has created a more attractive setup as fundamentals continue to improve.
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Sandisk Technical Analysis
Sandisk remains above its major moving averages. The stock is 6.4% above its 20-day simple moving average and 2.4% above its 50-day SMA. It is also 5.5% above its 100-day SMA and 60.4% above its 200-day SMA.
The 50-day SMA remains above the 200-day SMA, supporting the longer-term bullish trend. However, the 20-day SMA is below the 50-day SMA, signaling some recent cooling.
The relative strength index stands at 52.23. That puts momentum in neutral territory and suggests the stock is neither overbought nor oversold.
Key resistance sits near $1,696.50. Meanwhile, support is around $1,485.
Analyst Outlook
Sandisk carries a Buy consensus rating and an average price forecast of $2,190.50.
Mizuho maintained an Outperform rating on Aug. 25 but lowered its price forecast to $1,875. RBC Capital raised its forecast to $1,600 with a Sector Perform rating on Aug. 14. Wells Fargo also raised its forecast to $1,550 while maintaining an Equal-Weight rating.
Sandisk Price Action
SNDK Stock Price Activity: Sandisk shares were up 2.89% at $1600.00 during premarket trading on Friday, according to Benzinga Pro data.
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