SanDisk's earnings per share are too strong. It's

SanDisk's earnings per share are too strong. It's probably because its share capital is too small compared to Micron, Western Digital, and Seagate. After all, it just became independent, with a small share capital, specialized business, and no heavy assets (shares Kioxia's Japanese production capacity). I think reaching 1000 is the first step, and during the 1000-2000 journey, a stock split: a one-for-three or one-for-two split is highly likely 🤔

昆仑山岩石

$Sandisk(SNDK.US)$Micron Tech(MU.US)

Trend is bullish!

My previous articles have mentioned multiple times that short-term stock price fluctuations do not change the medium-term uptrend. Today, let's see why the short-term movements of SanDisk and Micron Technology are so elusive, sometimes not following the logic we imagine. Let's look at last night's turnover rate: SanDisk 7.36%, Micron Technology 2.46%, Western Digital 1.81%, Seagate Technology 1.68%.

SanDisk's turnover rate last night was the lowest since the 725 yuan adjustment, and even after being included in the Nasdaq 100 index and passive funds entering, it is still far higher than the other three stocks. High turnover rate means short-term traders dominate, making short-term price fluctuations hard to grasp. A better sign is that turnover has been declining these past few days, hopefully this trend continues. The two HDD stocks are mainly driven by institutional funds, making their trends relatively stable.

Currently, the market cap of all three stocks is around 130 billion USD. Let's look at their financial report expectations for the first three months of the 2026 calendar year, all to be announced next week:

……… (Operating revenue, EBIT, EPS) SanDisk : 4.667B, 2.634B, 13.82 yuan.

Western Digital: 3.229B, 1.161B, 2.08 yuan.

Seagate Technology: 2.958B, 1.026B, 3.24 yuan.

The growth rates are not listed, as none are as good as SanDisk's.

From a financial data perspective, SanDisk is outstanding, but why isn't it being hyped to the sky like stocks in the Myanmar A-share market? This is the difference between markets.

SanDisk's trading turnover must continue to decline to establish a relatively stable trend. Institutional investors in the market favor HDD stocks because their stable growth is predictable, and they are not currently worried about product surplus cycles (only two HDD players remain). SanDisk and Micron Technology, due to their historically strong consumer electronics cyclicality, have been given a reserved valuation by the market. As AI era demand grows exponentially and cyclicality weakens, the market will gradually raise their valuation standards, but this takes a process.

Essentially, the AI computing power industry chain cycle is the same, and the demand for storage is not just about computing power. The demand in the era of physical AI and intelligence is even more explosive. It's just that the market's current thinking is trapped by the past. The road ahead is still long. Personal opinion, for reference only, not to be used as investment basis!