On January 7, 2025, at SanDisk Corp.'s headquarters building in Milpitas, California.

Micron Technology delivered better-than-expected earnings on Wednesday, and Citi analysts expect that SanDisk Corp. (SNDK) will benefit from robust demand for NAND flash products within the non-volatile memory segment.

Citi has set a price target of $2,100 for SanDisk Corp., implying nearly 20.7% upside from Wednesday's closing price; the analyst maintained a Buy rating on the storage device maker.

Citi noted that Micron Technology's (MU) NAND flash business revenue grew 42%, driven by tight NAND flash supply, with product prices rising approximately 30%.

Given that SanDisk Corp. is a NAND flash solution provider, Citi expects the company to fully capture the demand tailwinds for NAND flash.

Citi analyst Asiya Merchant wrote in a research note: "SanDisk Corp. will continue to benefit from this structurally favorable industry environment. Additionally, the company's Bics8 process has completed certification, establishing a competitive moat; over the long term, an increasing mix toward data center business will further benefit the company's margins."