Citigroup upgraded SanDisk (SNDK) to buy from hold, citing factors such as the flash data storage company's share pricing and business fundamentals.
Analyst Craig Ellis says that new product cycles are sowing the seeds for a mid-2006 tightening, among other things. He notes that SanDisk shares are down in value by about 22% in the past month. He likes the risk and reward trade off in SanDisk's stock, and thinks the company's near term product and long term royalty revenues will also be positives. He keeps a $79 stock price target on the stock.