Motley Fool Backs Sandisk After 25% Drop as Palantir Slides 35% on Valuation
Updated
Updated · The Motley Fool · Jul 16
Motley Fool Backs Sandisk After 25% Drop as Palantir Slides 35% on Valuation
2 articles · Updated · The Motley Fool · Jul 16
Summary
Sandisk is the preferred buy after a 25% pullback from recent highs, while Palantir has fallen about 35% from its October peak but is still seen as too expensive.
At 8.4 times forward earnings, Sandisk looks cheaper because NAND demand from AI data centers is expected to stay tight, with Micron signaling memory-market tightness could last beyond 2027.
Palantir’s business remains strong — its latest quarter delivered 85% revenue growth across government and commercial customers — but that strength is viewed as already largely priced into the stock.
The call hinges on valuation rather than business quality: both companies are growing, but Sandisk could rally into late 2026 if memory prices hold, while a sharp NAND price drop remains the main risk.