Sandisk Corp (SNDK) is about to make its high-flying stock look considerably more affordable without changing what the company is worth. The 8-for-1 split arrives as its AI storage business accelerates, supply remains tight and JPMorgan sees another 69% upside, suggesting the rally may have more room to run.

An Eightfold Change in Price

Sandisk announced an 8-for-1 forward stock split alongside its fiscal first-quarter 2027 results. Shareholders of record on Nov. 9 will receive seven additional shares for every share they own, with split-adjusted trading expected to begin Nov. 20.

At the Oct. 29 closing price of $1,330.05, one share would effectively become eight shares worth approximately $166.26 each. An investor holding 10 shares would own 80 shares, but the position's total value would remain unchanged.

The split does not make Sandisk fundamentally cheaper or create additional value. It lowers the entry price per share, potentially making the stock more accessible to retail investors and employees participating in its stock purchase plan.

AI Storage Is Driving Growth

The timing reflects a rapidly expanding business. Sandisk generated $11.03 billion in fiscal first-quarter revenue, up 23% sequentially and 378% year over year. Non-GAAP earnings came in at $49.51 per share, while gross margin reached 85.1%.

Data-center revenue climbed 61% sequentially to $4.8 billion, accounting for roughly 44% of total sales. The edge business, which includes storage used in devices such as PCs and smartphones, contributed $5.83 billion, up 7%. Consumer revenue fell 29% to $397 million, highlighting how heavily growth is now concentrated in enterprise and AI-related demand.

Management expects the momentum to continue. Sandisk guided for second-quarter revenue of $12.2 billion to $12.6 billion, with non-GAAP earnings of $55 to $57 per share, both on a pre-split basis.

JPMorgan Sees More Upside

JPMorgan analyst Harlan Sur maintains an Overweight rating and a $2,250 price target. Against the Oct. 29 close, that implies approximately 69% upside. After the split, the equivalent target would be $281.25.

Sur's thesis centers on long-term customer agreements that provide greater visibility into demand and pricing. Sandisk expects roughly 50% of its fiscal 2027 bit shipments and 66% of fiscal 2028 shipments to be covered by its New Business Model agreements. The company has also said customer demand exceeds available supply through the end of the decade.

That visibility matters because AI workloads are creating demand for increasingly capable storage, not just computing power.

For investors, the split may make Sandisk easier to buy in smaller increments, but the bigger question is whether earnings can keep growing fast enough to justify its valuation. JPMorgan's target suggests substantial optimism; the company's ability to convert AI demand into durable growth will determine whether that optimism holds.