Sandisk plunges 7% after earnings as guidance falls short of investor expectations

Sandisk shares fell around 7% in extended trading Wednesday after the company reported stronger than expected fiscal fourth quarter earnings, as investors focused on a revenue outlook that fell short of elevated Wall Street forecasts. The decline followed a 5.4% drop during regular trading, extending the stock’s recent retreat after a sharp rally driven by demand for storage products used in artificial intelligence infrastructure. Sandisk shares were still up more than 400% in 2026 before the earnings release. Sandisk reported fiscal fourth quarter revenue of $8.97 billion, up 51% sequentially and 372% from the same period last year. Revenue surpassed the $8.48 billion expected by analysts. Adjusted earnings reached $39.25 per diluted share, compared with Wall Street expectations of $34.96. GAAP net income totaled $6.90 billion, or $43.97 per diluted share. Sandisk said approximately one third of the sequential revenue growth came from higher volumes, while two thirds came from higher pricing. Gross margin increased to 84.6% from 78.4% in the previous quarter. The company’s data center business generated $2.98 billion in revenue, up 103% sequentially and above analyst estimates of ...