Why Is SANDISK CORP (SNDK) Stock Up Today?

Sandisk Corp stock rose 5.63% to $1705.27 on Friday, driven by a combination of a large-scale options trade, renewed interest in memory chip stocks, and a recent $14 billion share buyback announced by the company. The stock opened with a 1.6% gap up and reached a session high of $1708.90 before settling near the high. The move comes amid broader industry momentum and a bullish outlook for AI-related memory demand.

What Happened

The stock’s sharp rise was supported by a $42 million call options trade on the SNDK 1600 strike, signaling strong retail and institutional conviction in the near-term upside. This activity came alongside broader gains in memory chip stocks, including Micron and SK Hynix, which were also rising in pre-market trading. The rally was further bolstered by SanDisk’s recent announcement of a $14 billion share buyback, which was highlighted in coverage as a sign of management’s confidence in the company’s valuation and cash flow. The stock has also been trending higher in the context of a broader AI memory shortage, with some analysts noting that the demand tailwinds could extend through 2029.

What The Data Shows

The stock opened at $1640.00, a 1.6% gap above the prior close, and traded in a wide range, reaching a high of $1708.90. Volume was 3.2 million shares, which is 0.2 times the 3-month daily average. The stock has gained 20 fresh 52-week highs on September 18, and is currently trading within its 52-week range of $90.22 to $2354.39. Over the last eight sessions, the stock had fallen 10.8% from $1802.65 to $1607.52 before today’s rebound. Unusual options activity has also been notable, with $109.5 million in call premiums traded and no put activity.

What To Watch

Investors should monitor the next earnings report for SanDisk, as well as continued developments in the AI memory chip sector. The stock’s recent rally and large options activity suggest continued volatility ahead.