Sandisk (SNDK) S&P500 Addition Analysis Report

Sandisk (SNDK) was officially added to the S&P500 index effective November28, 2025, replacing Interpublic Group (IPG) [4]. The announcement triggered a13.3% regular session gain followed by a9% after-hours surge [0]. However, subsequent trading showed volatility: Nov25 close at $220.50 (-3.46%), Nov26 at $215.04 (-4.85%), Nov28 at $223.28 (-0.87%) [1]. Trading volume on Nov26 reached 43M shares (4x average) indicating profit-taking [0]. Morgan Stanley raised SNDK’s price target to $273 from $263 with an Overweight rating, citing intensifying memory market shortages [3].

• Contrast between index addition (typically positive catalyst) and subsequent price drop suggests investors priced in the news before the effective date.
• High trading volume post-announcement indicates short-term profit-taking behavior.
• Morgan Stanley’s upgrade links SNDK’s outlook to memory market conditions, highlighting sector-specific dependencies.
• Passive index funds will need to purchase SNDK shares, providing potential medium-term support [4].

• Negative financial performance: TTM EPS of -$12.02 and P/E ratio of -18.58 [0].
• Extreme price volatility: 52-week range of $27.89-$284.76 [0].
• Dependence on memory market dynamics: Any easing of shortages could impact valuation [3].

• Index fund buying: Passive S&P500 trackers will need to add SNDK to their portfolios [4].
• Positive sector outlook: Tech sector gained 0.53% during the period [2].
• Morgan Stanley’s bullish stance on memory shortages supports medium-term potential [3].

• Current price: $223.28 [0]
• Market cap: $32.43B [0]
• TTM EPS: -$12.02 [0]
• P/E ratio: -18.58 [0]
• Affected instruments: SNDK (added to S&P500), IPG (replaced), UPWK (replaces SNDK in SmallCap 600)
• Sector: Technology (0.53% gain) [2]

This analysis is for informational purposes only and does not constitute investment advice.