SanDisk (SNDK) Bullish Stance Reiterated at Needham & Company Post Q2
- Top 10 News for 10/20 - 10/24: Apple Ramps on Results; Loeb Eyes Amgen; Advanced Technologies Exits Sapphire Game
- Procter & Gamble (PG) Reports In-Line Q1 EPS; To Spin-Off Duracell
- Dallas Ebola Nurse Nina Pham now cured - NIH Says
- Ford Motor (F) Tops Q3 EPS by 5c
- SodaStream (SODA) Confirms 'Small-Scale' PepsiCo (PEP) Test
Needham & Company analyst Rajvindra Gill reiterated a Buy rating and $115 price target on SanDisk (NASDAQ: SNDK) following Q2 results, saying shares should reset after mixed guidance although the long-term outlook remains favorable.
SNDK nicely beat 2Q14 ests, but guided 3Q topline slightly lower than the Street ($1.70BN vs $1.74BN) due to unexpected supply constraints. With the stock up 40% YTD (vs 20% for SOX) and 7% in the past month (vs 4% SOX), expectations were clearly high entering into the print. SNDK saw a surge in SSD growth which required more 19nm bits, and hence reduced overall NAND supply, leading to slightly lower outlook. However, we believe this situation is temporary and we expect SNDK will add wafer capacity in the 4Q. Net, we think SNDK's improving mix to enterprise SSDs & embedded is a good model long term. Maintain Buy, $115 PT.
Shares of SanDisk closed at $107.83 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- UPDATE: Credit Suisse Downgrades KLA-Tencor (KLAC) to Neutral - Correct
- CoreLogic (CLGX) Target Lifted to $37 at Piper Jaffray as Margin Profile Raised
- Deckers Outdoor (DECK) PT, Estimate Trimmed at Piper Jaffray Post Q2
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS View
Related EntitiesNeedham & Company
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!