NAND supply tightness may persist until 2028! Citi is bullish on AI demand driving memory chip price increases, reiterating a "Buy" rating on SanDisk (SNDK.US).

Citi Research stated that Micron Technology's (MU.US) recently announced fourth-quarter results further confirm the ongoing supply tightness in the NAND flash memory market, and it is expected that the tight supply-demand situation in the industry may persist until 2028, providing support for memory chip prices. Citi believes that the continued growth in demand from artificial intelligence (AI)-driven data centers will further improve the fundamentals of the NAND industry and benefit SanDisk (SNDK.US).