$SNDK Drops 11% as Morgan Stanley Warns Memory Boom Is Near an Inflection Point

Shares of $SNDK fell more than 11% after Morgan Stanley warned that the memory boom may be approaching an inflection point, with contract chip prices expected to peak in late 2026.
However, a pricing peak does not necessarily mean an earnings peak. SanDisk reportedly has $42 billion in remaining performance obligations from multiyear agreements, with price floors near $0.29 per GB .
Contracted volumes and rising AI storage demand could therefore keep earnings growing even if NAND prices begin to flatten.