Argus upgraded SanDisk (SNDK) from a "Hold" to a "Buy" rating. The firm set a new price target of $1,600.
Argus cited strong fundamentals and accelerating financial momentum. The firm also noted a recent stock price pullback. Argus views this as a compelling entry point for investors.
Analyst Jim Kelleher highlighted SanDisk's exceptional growth. This growth is particularly strong in the data center sector. Investments in artificial intelligence infrastructure drive this expansion.
The firm also noted positive momentum in client solid-state drives (SSDs) and enterprise solutions.
This upgrade follows a period of profit-taking in the stock. SanDisk's fiscal fourth-quarter results significantly surpassed consensus estimates.