Sandisk Stock Is Still Up 488% This Year Despite a 40% Drop. Is It a Buy Now?

Sandisk shares have gained 488% in 2026 but recently dropped 40% from their June peak. While the stock trades at a reasonable P/E ratio of 19, profit growth is slowing from explosive quarterly gains to mid-teens growth. The company's New Business Model agreements covering half its output provide some downside protection, but the sustainability of current earnings levels remains uncertain given the cyclical nature of memory chip pricing.