Storage stocks collectively dive, SanDisk $SNDK drops 4%—is it a bargain pit or a real meltdown?
Last Friday, the storage sector took a hit all at once, with SanDisk getting hammered down 3.5% directly, and tonight’s trading session it fell more than 4% again. A lot of brothers are panicking, but we’ve got to look at the substance.
News:
First, a report from Guotai Junan said NAND prices may not rise much in the fourth quarter this year.
Second, a 00s trader called 0xRay518 added positions over the weekend, going long 10x short on SNDK with an additional $13.46 million. But don’t just look at the shorts: on September 9, Goldman Sachs just raised its target price to $2,200 and maintained a Buy rating. As for SanDisk’s new NBM model, it has signed deals with 8 major customers, totaling $93.9 billion in contract value, with gross margin reaching 80%.
Personal view: The fundamentals of storage stocks haven’t really gone bad. This move is basically profit-taking using negative news to shake things out. The bears are betting on a short-term pullback, while institutions are looking at long-term orders. At the 1564 level, below it, 1547 is the lifeline—if it doesn’t break, there’s still room to play.
Long/Short strategy
Go long: On a pullback to 1547–1560, wait for stabilization, then enter lightly.
Go short: On a rebound to 1620 where it meets resistance, enter lightly short; reduce position size.
The main force is washing the market, while the bears are adding shorts—so which side are you on? If you want to know how things unfold next, 【拾贝王牌交流室】 will take you along in real time with Dan!
#AnthropicCEO呼吁放缓AI发展 #比特币四周内第三次单块重组 $SKHYNIX $ZEC
Last Friday, the storage sector took a hit all at once, with SanDisk getting hammered down 3.5% directly, and tonight’s trading session it fell more than 4% again. A lot of brothers are panicking, but we’ve got to look at the substance.
News:
First, a report from Guotai Junan said NAND prices may not rise much in the fourth quarter this year.
Second, a 00s trader called 0xRay518 added positions over the weekend, going long 10x short on SNDK with an additional $13.46 million. But don’t just look at the shorts: on September 9, Goldman Sachs just raised its target price to $2,200 and maintained a Buy rating. As for SanDisk’s new NBM model, it has signed deals with 8 major customers, totaling $93.9 billion in contract value, with gross margin reaching 80%.
Personal view: The fundamentals of storage stocks haven’t really gone bad. This move is basically profit-taking using negative news to shake things out. The bears are betting on a short-term pullback, while institutions are looking at long-term orders. At the 1564 level, below it, 1547 is the lifeline—if it doesn’t break, there’s still room to play.
Long/Short strategy
Go long: On a pullback to 1547–1560, wait for stabilization, then enter lightly.
Go short: On a rebound to 1620 where it meets resistance, enter lightly short; reduce position size.
The main force is washing the market, while the bears are adding shorts—so which side are you on? If you want to know how things unfold next, 【拾贝王牌交流室】 will take you along in real time with Dan!
#AnthropicCEO呼吁放缓AI发展 #比特币四周内第三次单块重组 $SKHYNIX $ZEC
