Storage Stocks Dominate: Sandisk Surges 32% After Analyst EPS Upgrades

Sandisk surged 31.9% after analysts raised forward EPS growth estimates from 155.1% to 159.7% on April 27, with the stock climbing from $1,070.20 to $1,411.31 as investors embraced its new long-term supply agreement model covering over $42 billion in revenue.

Wall Street rates Sandisk a Strong Buy with an average target implying further upside, though RBC analyst Srini Pajjuri notes the stock may continue trading on older cyclical patterns until the new contract structure benefits become clearer in upcoming quarters.

Sandisk reported fiscal Q3 adjusted EPS of $23.41 on $5.95 billion in sales, crushing analyst estimates, driven by its new long-term supply agreement model where buyers commit to fixed volumes and pricing with take-or-pay terms.

Seagate stock surged 29.6% following a fiscal Q3 earnings beat with adjusted EPS of $4.10 on $3.11 billion revenue, plus raised long-term growth guidance to at least 20% annually, driving 11 analyst price-target increases.

Analysts remain heavily bullish with 21 of 25 in coverage rating Buy or better, though the stock's SVS volatility score of 85 indicates options traders see elevated risk, and Rosenblatt's $1,000 target represents meaningful upside from current levels.

Seagate posted non-GAAP gross margin of 47.0% (up from 36.2% a year ago) and operating margin of 37.5% (up from 23.5%), driven by robust nearline storage demand for AI and cloud data centers with supply almost fully allocated through 2027.

Bloom Energy jumped 25.1% after Q1 revenue reached $751.1 million (more than doubling year-over-year) and the company raised 2026 revenue guidance to $3.4-3.8 billion, with analysts raising EPS estimates from 121.3% to 122.0% growth.

Bloom reported adjusted EPS of $0.44 versus $0.03 a year ago, with gross margin expanding 280 basis points to 31.5%, while operating margin jumped over 1,300 basis points to 17.3%, driven by product revenue hitting an all-time high of $653.3 million.

Bloom's Oracle data center deal and raised guidance to 80% year-over-year revenue growth support the bullish case, though the 25% rally in two days may have priced in near-term expectations for the $1.85-2.25 non-GAAP EPS guidance.

Micron gained 22.9% after TD Cowen raised its price target to $660 from $550, highlighting the memory-chip maker's strong margin profile with gross margin floors near 60% in long-term agreements, supporting EPS growth estimates raised from 66.9% to 67.1%.

27 of 30 analysts rate Micron Buy, though price targets range from $400 (potential 30% downside) to $1,000 (73% upside), reflecting debate over whether AI-driven memory demand represents a structural shift or another cyclical top.

Micron has surged nearly 500% over 12 months driven by robust pricing and demand for memory used in AI data centers, with analysts split on whether the current cycle extends beyond historical patterns.

MaxLinear surged 22.8% after analysts raised forward EPS growth estimates from 35.8% to 39.8% on April 29, with the stock climbing from $67.52 to $82.89 as investors rotated into semiconductor infrastructure plays.

With 4 percentage points of EPS growth estimate revision and no earnings catalysts in the window, the stock appears to be catching a sector tailwind from broader AI infrastructure spending momentum rather than company-specific drivers.

Analysts revised MaxLinear's forward EPS growth estimate from 35.8% to 39.8% as of April 29, representing a 4 percentage point increase that drove the 22.8% price appreciation.