You can’t really blame investors for that, but the question is whether it really is time to walk away in search of better opportunities elsewhere.
For one investor, known by the pseudonym Khaveen Investments, the answer is a resounding no, with plenty of reasons to believe Sandisk’s future remains bright.
For one, Khaveen points out that the top four hyperscalers are anticipated to increase their capital expenditure by 89.44% in 2026, significantly above the historical average capex growth of 28.92%.
The investor believes one driver of this elevated hyperscaler spending on AI data centers is AI inference and training, where GPUs train models using data stored on NAND SSDs. According to EpochAI, AI model training datasets have increased at an average rate of 370% per year between 2010 and 2025. This implies a rising need for data transfer between CPUs, GPUs, and storage during training of newer AI models, which helps explain the anticipated growth in NAND memory shipments to data centers.
“We overall expect Sandisk’s growth outlook to be robust,” noted Khaveen, “as we believe that the current memory shortages from AI infrastructure buildout support higher ASP growth and sustain its revenue growth.”
