Jefferies analyst Blayne Curtis raised the price target on SanDisk (NASDAQ: SNDK) to $1,400.00 (from $1,000.00) while maintaining a Buy rating.

The analyst comments "Guidance came in a touch light of expectations but the most important takeaway from the call was that SNDK now has 5 long-term customer agreements with some contracts stretching beyond 2030. We raise PT to $1400 and continue to view SNDK as one of our favorite names. Very strong results and though guidance a touch light vs. some buyside expectations, the key focus for our team was updates on SNDK's newly minted LTAs. Management noted they have officially secured three New Business Model (“NBM”) partnerships in the Mar/Q, representing multi-year customer engagements backed by firm financial commitments. In addition, the company noted signing two additional NBMs already in FQ4. In aggregate, the three signed deals from Mar/Q represent a minimum value of $42B, which we think ends up being materially higher as market tightness persists. The agreements help de-risk forward visibility, given it's a strong signal that the hyperscalers are willing to sign these agreements at this pricing. In terms of profitability, we expect the guidance offered for GM of 80% should be a floor going forward tied to continued market tightness. Data Center revenue grew 233% Q/Q to $1.47B and now represents ~25% of total sales, a step-function move that should accelerate further in the June quarter as SNDK finally begins shipping its QLC-eSSD platform (codenamed Stargate). Capital allocation now becomes an interesting discussion with the company fully debt-free and announcing a new $6B share repurchase program while on pace to generate $20B+ of FCF in F27."