Bank of America kept a bullish stance on SanDisk after its latest earnings, reiterating a buy rating and maintaining a $2,500 price target versus a reference share price of $1,350.5, implying roughly 85% upside. The bank said investors may be underestimating how long the company's profit growth can last as artificial intelligence boosts storage demand and enterprise SSDs (solid-state drives) gain wider adoption. The target is based on projected 2027 earnings per share of $255 and a valuation of about 10 times earnings. SanDisk reported fourth-quarter revenue of $8.97 billion, up 51% from the prior quarter and above its earlier guidance of $7.75 billion to $8.25 billion. About two-thirds of that growth came from higher product prices, with the rest driven by increased storage bit shipments. Gross margin rose to 84.6% from 78.4% in the previous quarter and exceeded the company's prior 79% to 81% outlook. BofA expects fiscal 2027 earnings per share to rise 229% to $233.85, with revenue up 160% to $52.6 billion. For the next quarter, SanDisk forecast revenue of $10.3 billion to $10.8 billion, earnings per share of $44 to $46, and gross margin of 83% to 85%. BofA said it has not yet seen clear signs that SanDisk's storage pricing and profitability have peaked, suggesting AI infrastructure expansion may continue to support the industry's upcycle.