Why Sandisk Stock Popped Again Today

Yahoo Finance ·

Sandisk ( SNDK +8.88% ) stock jumped 6.4% through 10:30 a.m. ET Thursday after Reuters reported the NAND memory maker has signed a "multi-year" deal to supply NAND flash memory to Meta Platforms ( META +0.48% ) . Meta stock itself is down slightly on the news. Sandisk isn't the only beneficiary of the deal, with Meta reported to be splashing out cash on DRAM from Samsung and fiber optic cables from Sumitomo Electric as well, as it builds out its own artificial intelligence computing infrastructure . But as the only company of the three trading on the Nasdaq, it's the most obvious beneficiary -- and so it's the one investors are buying today. Additional beneficiaries probably include Broadcom ( AVGO +3.03% ) , which is helping Meta to design the Iris AI chips it will use in its data warehouses, and also Taiwan Semiconductor Manufacturing ( TSM +1.65% ) , which will contract-manufacture the chips.

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