A Leaked Meta Memo Puts a Named Buyer Behind SanDisk's NAND Run

A Leaked Memo, Not Another Upgrade

SanDisk's second leg higher traces to a Reuters report that cited an internal Meta memo describing a multi-year agreement for Meta to buy NAND flash memory from SanDisk. The memo frames the deal as one piece of a spending push in which Meta plans to lay out as much as $145 billion on AI infrastructure this year — a figure S&P Global pegs above Meta's expected ~$136.6 billion in operating cash flow. The same document reportedly locks in DRAM from Samsung and fiber-optic gear from Sumitomo Electric, and ties the buildout to 'Iris,' Meta's in-house AI accelerator that Broadcom designs and TSMC fabricates. Meta is said to be targeting seven gigawatts of compute in 2026, doubling to 14 gigawatts in 2027. Neither Meta nor SanDisk has confirmed the terms.

From Analyst Math to a Named Customer

For months the SNDK trade ran on analyst math. Bernstein's Mark Newman more than doubled his target to $3,000 from $1,700 at the end of June, arguing that SanDisk's newer long-term agreements swap customer-friendly pricing for fixed or banded pricing with prepayments — a structural shift he underwrites with a $0.29-per-gigabyte NAND floor and base-case FY27/FY28 EPS of $243 and $272. The Meta memo does something the upgrades could not: it attaches a hyperscaler's name to that demand. SanDisk had already disclosed roughly $42 billion in minimum contracted revenue across its multi-year deals; a named Meta contract makes that backlog read less like a spreadsheet assumption and more like booked business, which is why this pop stuck where a pure sell-side note might have faded.

What Could Still Go Wrong

The obvious caveat is that this is a leaked memo, not a signed-and-disclosed contract — no dollar value, no duration, and both companies declining to comment. It also lands on a stock that has already run close to 635% in 2026 on the AI-memory theme, which leaves thin margin for disappointment. Only days earlier SNDK gave back ground in a sell-the-news memory rout after Samsung's blowout print, a reminder that the group trades on sentiment as much as fundamentals. A rumor this size tends to get faded if official confirmation doesn't follow — or re-rated higher if it does. The $299 million in 24-hour perp volume on this market shows traders are treating it as the former until proven otherwise.