Sandisk: Things Are Getting Weird (Rating Downgrade)

Impact · against what's priced in

The article confirms a broad memory sector slowdown, providing data that reinforces the market's existing skepticism regarding sustained growth for WDC, STX, and MU. While the news is negative, the current prices already assume significant decelerations, limiting the immediate downward catalyst.

MU−0.20

Challenges what's priced in

The price assumes

Sustained pricing power and margin expansion beyond 2027

Signs of demand destruction due to higher pricing in the consumer and edge segments challenge the thesis that memory supply will remain a bottleneck with sustained pricing power.

What MU's price assumes · Sep 9

• semiconductors▲11%
• earnings▲6%
• guidance
• MU
• STX
• WDC
• demand destruction
• memory chips