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Sandisk joins the S&P 100 as NAND demand and earnings drive momentum

S&P 100 inclusion announced Sept. 4 brought an initial nearly 12% rally, but analysts said the bigger story is strong NAND demand and Sandisk being in a peak earnings cycle.

Reported · Written up by our desk · Previews

Sandisk, the flash memory maker, officially entered the S&P 100 this week, a move that places the stock alongside some of the largest US megacaps. The index change was announced on Sept. 4, and Sandisk shares gained nearly 12% in the session before giving back much of that increase over the following week.

Analysts said the impact from index inclusion is likely limited. The company is already a constituent of the S&P 500, and most of the “forced” buying dynamics tied to benchmark changes were already in place, with S&P 100 addition viewed as more of a badge of honor than a meaningful demand driver.

Instead, the rally is being attributed primarily to operational fundamentals, including strong NAND demand and Sandisk’s position at what the analysis calls the peak of its earnings cycle. MarketBeat Ratings also pointed to Sandisk shares rising again as indices rebalance at quarter end, while suggesting the rebalance itself adds only incremental support.

The S&P 100 change also involved Sandisk replacing Colgate-Palmolive, Nike, Simon Property Group, and Honeywell Aerospace, with the broader theme described as tech additions and consumer and REIT names moving out. The move also appeared to draw sympathy for other memory stocks, including Western Digital and Micron Technology.

Latest closeS&P 500 7,706.03 ▼0.8%

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