SanDisk (SNDK) Shares Spike 10% on Multi-Year Meta Storage Partnership

Key Highlights

• Meta has reportedly committed to a long-term NAND flash memory supply agreement with SanDisk
• Shares of SanDisk soared more than 10% Thursday following the Reuters report
• An internal Meta document reveals plans for 7 gigawatts of compute deployment in 2026, scaling to 14 gigawatts in 2027
• Official confirmation and deal terms remain undisclosed by both companies
• SanDisk previously reported approximately $42 billion in committed multi-year supply contract revenue

Shares of SanDisk (SNDK) rocketed higher by more than 10% Thursday after Reuters published a report indicating that Meta Platforms has entered into a long-term agreement designating SanDisk as a primary flash storage provider for its ambitious artificial intelligence infrastructure buildout.

Sandisk Corporation, SNDK

According to the Reuters report, which referenced an internal Meta communication, SNDK shares climbed from approximately $1,727 to reach an intraday peak of $1,907.79 during Thursday trading. As of this writing, the stock was trading up roughly 10.27% at $1,904.52.

SanDisk isn’t the sole beneficiary of Meta’s procurement strategy. The internal document also identifies Samsung Electronics for DRAM supply and Sumitomo Electric for fiber-optic infrastructure. However, SanDisk stands out as the only U.S.-listed equity among the trio, positioning it as the most accessible opportunity for domestic investors.

The positive sentiment spilled over into adjacent technology stocks. Broadcom (AVGO) — which is collaborating with Meta on its proprietary “Iris” artificial intelligence processor — gained 3.74%. Taiwan Semiconductor Manufacturing (TSM), tasked with manufacturing the chip, advanced 1.32%. Meta itself (META) posted modest gains between 1.51% and 1.59%.

Neither Meta nor SanDisk has provided official statements regarding the arrangement. SanDisk declined commentary when contacted by Reuters, while Meta did not provide a response.

Meta’s Aggressive Infrastructure Expansion

The leaked internal communication reveals an aggressive timeline. Meta is targeting the deployment of seven gigawatts of computational infrastructure in 2026, with plans to double that capacity to 14 gigawatts by 2027.

At the heart of this expansion sits “Iris,” Meta’s fourth-generation AI chip under its MTIA initiative — a strategic program designed to reduce dependence on hardware from Nvidia and AMD. According to reports, Iris has successfully navigated bug testing without significant setbacks and remains on schedule for production launch in September 2026.

Meta’s AI infrastructure investment for this year alone could reach $145 billion. Notably, this spending level surpasses the $136.6 billion in operating cash flow the company is projected to generate in 2026, based on S&P Global Market Intelligence estimates.

SanDisk’s Remarkable Market Performance

SanDisk commenced trading as an independent entity following its Western Digital spinoff in February 2025, debuting around $38.50 per share. Since then, shares have skyrocketed more than 800% year-to-date, establishing it as the S&P 500’s best-performing stock through the first half of 2026.

The company’s latest financial results showcased this explosive growth trajectory. Third-quarter revenue nearly doubled year-over-year to $5.95 billion. Non-GAAP gross margins reached an impressive 78.4%, fueled by constrained supply conditions in the NAND flash market.

Prior to Thursday’s Meta news, SanDisk had already announced multi-year supply commitments representing approximately $42 billion in guaranteed minimum revenue.

The broader memory semiconductor sector participated in Thursday’s rally. Micron (MU) climbed nearly 8%, Western Digital (WDC) advanced approximately 6.9%, and Seagate (STX) gained close to 6%.

Thursday’s surge continues an extraordinary run for the NAND flash memory manufacturer, which now commands a market capitalization of $256 billion.

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