Sandisk pivots to AI datacenters, expects 70% revenue growth in FY2026 with strong profit turnaround.

Sandisk Corporation has shifted its focus from consumer products to enterprise and AI-driven datacenter markets, driving a significant business transformation. The company projects a 70% year-over-year revenue increase for fiscal year 2026, with operating income rebounding from a $1.3 billion loss in fiscal 2025 to a $5.3 billion profit in the first nine months of 2026. This growth is fueled by a 126% surge in datacenter segment sales, supported by multi-year contracts with hyperscalers and premium enterprise SSD products. Despite the stock being overbought, Sandisk's AI-driven expansion and similarities to Nvidia's 2022 turnaround are expected to boost investor confidence.