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Earnings after the close: Sandisk and Western Digital put the AI storage boom to the test
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The main event after the close is storage, with Sandisk and Western Digital reporting at a crucial point for the AI trade.
Notably, SanDisk was also the top holding at Situational Awareness before it collapsed and that might have created artificial selling.
The consensus is $8.5 billion in revenue and $34.60 in adjusted EPS after data-centre revenue rose 233% sequentially last quarter.
My guess is that to sustain the momentum, we will need a substantial beat and strong guidance.
The market wants confirmation that hyperscaler storage spending remains strong and that additional supply won’t quickly erode pricing.