SanDisk unveils AI-focused growth strategy and $15.5B buyback

SanDisk Corporation has unveiled an ambitious long-term growth strategy following its Investor Day, projecting mid-to-high-teens annual revenue growth through fiscal years 2028–2030. The company aims to maintain gross margins near 80% and announced a $15.5 billion share buyback program, committing to return 100% of free cash flow to shareholders.

Key technological developments include the unveiling of a High Bandwidth Flash (HBF) prototype. CTO Alper Ilkbahar stated that HBF is intended to “fundamentally change the economics of AI,” with early customer samples targeted for next year and revenue expected by 2028. SanDisk has also secured long-term agreements with eight customers, including three US-based hyperscalers, to stabilize production volumes.

The company’s outlook has triggered significant market activity, including a surge in SanDisk stock perpetuals in crypto derivatives markets, where open interest reached a record $1.73 billion. Analysts have responded to the guidance by raising price targets, noting that the memory sector continues to benefit from high demand for AI data center infrastructure. This demand extends to related components, such as optical networking, as the industry seeks to resolve data transport bottlenecks.