MMarketMath

SNDK

Fast growerQuality: Medium (61/100)1 red flag

Sandisk · Information Technology · Technology Hardware, Storage & Peripherals

$1,493.12

52w 46.01 – 2,354.39

20y monthly, adjusted

Mkt cap

$218.6B

P/E

20.7

P/FCF

20.6

FCF yield

4.9%

ROE

72.7%

Shldr yield

1.9%

div 0.0% + bb 1.9%

What today's price assumes

At $218.6B, the market is pricing in 8.1% annual free-cash-flow growth for the next decade (10% discount rate, 2.5% terminal growth).

Simple DCF per-share range: $1,196 · $1,604 · $2,000 (4% / base / optimistic growth). An estimate, not a target.

Adjust the assumptions yourself →

Growth record

Compound annual growth rates from as-filed 10-K data, split-adjusted

Rev 3y

+49.3%

Rev 5y

+49.3%

Rev 10y

+49.3%

EPS 5y

EPS 10y

FCF 5y

FCF 10y

Fundamentals

Fiscal 2023–2026, from SEC filings

Revenue

2023: $6.1B
2024: $6.7B
2025: $7.4B
2026: $20.2B
$0$10.0B$20.0B
23
24
25
26

Net income

2023: −$2.1B
2024: −$672.0M
2025: −$1.6B
2026: $11.4B
$0$5.0B$10.0B
23
24
25
26

Free cash flow

2023: −$932.0M
2024: −$475.0M
2025: −$120.0M
2026: $11.5B
$0$5.0B$10.0B
23
24
25
26

Diluted shares (lower is better)

2023: 145.0M
2024: 145.0M
2025: 145.0M
2026: 155.0M
050.0M100.0M150.0M
23
24
25
26

Margins

0%50%23242526
Net marginFCF marginGross margin

Capital returned (dividends + buybacks)

2024: $0
2025: $0
2026: $4.5B
$0$2.0B$4.0B
23
24
25
26

Cash vs long-term debt

$0$2.0B$4.0B23242526
CashLT debt

Quarterly

Discrete quarters from 10-Q filings; Q4 derived as fiscal year minus Q1–Q3. OCF is unwound from the year-to-date figures 10-Qs report. Compare to the same quarter a year ago — most businesses are seasonal.

Revenue by quarter

Q2'24: $1.7B
Q3'24: $1.7B
Q1'25: $1.9B
Q2'25: $1.9B
Q3'25: $1.7B
Q4'25: $1.9B
Q1'26: $2.3B
Q2'26: $3.0B
Q3'26: $6.0B
Q4'26: $9.0B
$0$2.5B$5.0B$7.5B
24
24
25
25
26
26

Net income by quarter

Q1'24: −$518.0M
Q2'24: −$301.0M
Q3'24: $27.0M
Q4'24: $120.0M
Q1'25: $211.0M
Q2'25: $104.0M
Q3'25: −$1.9B
Q4'25: −$23.0M
Q1'26: $112.0M
Q2'26: $803.0M
Q3'26: $3.6B
Q4'26: $6.9B
$0$2.5B$5.0B
24
24
25
25
26
26
QuarterRevenueYoYNet incomeYoYEPSOCF
Q4'26 *$9.0B+371.6%$6.9B44.83$7.1B
Q3'26$6.0B+251.0%$3.6B23.03$3.0B
Q2'26$3.0B+61.2%$803.0M+672.1%5.15$1.0B
Q1'26$2.3B+22.6%$112.0M−46.9%0.75$488.0M
Q4'25 *$1.9B−$23.0M−119.2%-0.17$94.0M
Q3'25$1.7B−0.6%−$1.9B−7259.3%-13.33$26.0M
Q2'25$1.9B+12.7%$104.0M0.72$95.0M
Q1'25$1.9B$211.0M1.46−$131.0M
Q4'24 *$120.0M−$130.0M
Q3'24$1.7B$27.0M0.19−$12.0M
Q2'24$1.7B−$301.0M
Q1'24−$518.0M

Track record

Compound annual growth by period. For debt and share count, negative is the good direction.

Series3y5y10y15y
Revenue+49.3%
Operating cash flow
Free cash flow
EPS (diluted)
Equity+11.2%
LT debt
Diluted shares+2.2%
Stock price

Quality & capital discipline

Cash-based returns and how management deploys capital

Cash ROIC

74.2%

OCF ÷ (equity + debt)

OCF / EV yield

5.0%

MC vs 10× OCF

2.03

≤1 = priced under 10× OCF

Debt / FCF

0.0y

SBC / FCF

2.0%

Owner earnings

$11.3B

OCF − capex − SBC

OE yield

4.8%

Share count 5y

+2.2%

per year; negative = buybacks

Capital intensity

3.3%

net PP&E ÷ revenue

Sales efficiency

$-0.01

new PP&E per $1 new revenue, 5y

Checklist

17 of 19 checks pass · 89%. Checks with structurally missing inputs are excluded.

Growth & Consistency

1/1

  • Revenue growth

    49.3% · 5y CAGR ≥ 5%

    pass
  • EPS growth

    · 5y CAGR ≥ 5%

    na
  • FCF growth

    · 5y CAGR ≥ 5%

    na
  • Revenue rises consistently

    · up in ≥ 7 of last 10 years

    na
  • FCF consistently positive

    · positive in ≥ 8 of last 10 years

    na
  • Profitable every year

    · net income > 0 in ≥ 8 of last 10

    na
  • Cash flow keeps up with sales

    · OCF CAGR ≥ 0.9× revenue CAGR

    na

Profitability

7/7

  • Net margin

    56.5% · ≥ 8%

    pass
  • Operating margin

    61.2% · ≥ 10%

    pass
  • Gross margin stable or rising

    71.5% vs 7.1% · no drop > 2 pts over 3y

    pass
  • Return on equity

    72.7% · ≥ 12%

    pass
  • Cash ROIC

    74.2% · ≥ 12%

    pass
  • FCF margin

    56.8% · ≥ 5%

    pass
  • Earnings back their cash

    OCF $11.7B vs NI $11.4B · OCF ≥ net income (latest FY)

    pass

Balance Sheet

5/5

  • Debt payable from cash flow

    0.0y · LT debt ≤ 3× FCF

    pass
  • Cash cushion

    · cash ≥ 50% of LT debt

    pass
  • Leverage

    0.00 · LT debt ≤ 1.5× equity

    pass
  • Equity positive and compounding

    $15.7B · equity > 0 and grew over ~5y

    pass
  • Interest burden

    1% · interest ≤ 15% of operating income

    pass

Capital Allocation

2/3

  • Share count flat or shrinking

    2.2% · ≤ +0.5%/yr over ~5y

    fail
  • Stock comp restrained

    2% · SBC ≤ 15% of FCF

    pass
  • Distributions funded by FCF

    39% · dividends + buybacks ≤ 100% of FCF

    pass
  • Repurchases are a habit

    · buybacks in ≥ 5 of last 10 years

    na

Valuation Discipline

2/3

  • FCF yield

    4.9% · ≥ 3%

    pass
  • Earnings multiple

    20.7 · P/E ≤ 25

    pass
  • Price asks less than history delivered

    · implied FCF growth ≤ historical FCF CAGR

    na
  • Shareholder yield

    1.9% · dividends + buybacks ≥ 2% of market cap

    fail

Red flags

Mechanical checks — a flag is a question to investigate, not a verdict

Shareholder dilution

Diluted share count has grown by more than 2% per year over ~5 years.

Financial data

As filed in 10-Ks; per-share figures split-adjusted. $ in millions.

FYRevenueGross profitOp incomeNet incomeEPSOCFCapExFCFDividendsBuybacksSBCCashLT debtEquityShares
202620,24814,47212,38911,43373.7611,67117711,4944,5242324,762015,736155
20257,3552,212-1,377-1,641-11.3284204-12001821,4811,8299,216145
20246,6631,072-468-672-4.63-309166-4750149328011,082145
20236,086430-2,035-2,143-14.78-713219-93216529211,439145

Some concepts are structurally absent for certain industries (banks report no gross profit or capex). Missing ≠ zero.