SanDisk Corporation (NASDAQ: SNDK) stock experienced a significant upward movement on Thursday, gaining 10.38% to $2,162.10. The rally followed a public confirmation from Apple Inc. CEO Tim Cook regarding a structural memory shortage, validating the pricing power of memory manufacturers as electronic component costs continue to rise. The stock is trading well above its prior 52-week high of $2,167.33, maintaining a steep uptrend across all major timeframes.

Apple Details Supply Chain Adjustments

The surge in SanDisk shares materialized after a Wall Street Journal interview with Cook published on Wednesday. Cook stated that Apple plans to increase prices across its product lineup due to escalating storage and memory component expenses. "Unfortunately, price increases are unavoidable," Cook said in the interview. "We're doing our best to mitigate the huge increases that are being passed to us, but the situation has become unsustainable."

Industry Demand Diverts Storage Supply

The memory constraint stems from a reallocation of DRAM and NAND supply toward artificial intelligence infrastructure. Massive capital expenditure expansions initiated last year by Alphabet Inc., Microsoft Corp., Meta Platforms Inc. and Amazon.com Inc. have driven a fourfold increase in chip prices. Cook emphasized the unprecedented scale of the current commodity cycle, drawing from his history at IBM, Compaq and Apple. "This is a 100-year flood," Cook told the Wall Street Journal, adding, "I've never seen anything like it in any area in over 40 years."

Technical Setup and Key Levels

SNDK is in a steep uptrend, underscored by its 12-month gain of 4,565.38%. The stock is trading 26.5% above its 20-day SMA, 58.6% above its 50-day SMA, 117.6% above its 100-day SMA, and 261.1% above its 200-day SMA. The moving-average structure stays bullish, with the 20-day SMA above the 50-day SMA and the 50-day SMA above the 200-day SMA, signaling the intermediate and long-term trend are aligned higher.

Cantor Fitzgerald analyst C.J. Muse has raised the price target for SanDisk to $2900 while maintaining an Overweight rating on the stock. The previous target was $1800. SanDisk trades on the NASDAQ under the ticker symbol SNDK.

Rating and Target Details

The revised price target represents a significant increase from the prior level. The Overweight rating suggests the analyst expects the stock to outperform the broader market.