Rosenblatt initiates Sandisk coverage with buy rating on AI demand

Sandisk shares have risen sharply this year as growing investment in artificial intelligence infrastructure boosts demand for memory and data storage.

Rosenblatt analyst Kevin Cassidy initiated coverage of the company on Monday with a buy rating, citing the expanding role of NAND flash technology in AI systems.

Cassidy said NAND flash, traditionally viewed as a commodity product, is increasingly becoming a critical component of computing infrastructure as AI workloads require larger amounts of fast, reliable storage.

NAND is a form of nonvolatile memory that retains data without a continuous power supply and is widely used in solid-state drives and data-centre storage systems.

The growth of generative AI has increased demand for infrastructure capable of storing and accessing vast amounts of data used to train and run large models.

Cassidy said that shift could support stronger demand for Sandisk’s products as storage becomes a more important part of the broader AI hardware market.