SanDisk (SNDK) Stock Looks Pricey Next To Its Future Cash Flow

Sandisk has seen its share price move to US$1,581.82 after an exceptionally strong run, which naturally raises the question of whether the current valuation still lines up with the cash the business is expected to generate. With such a sharp shift in market expectations, the issue for you is how today’s price stacks up against the stock’s intrinsic value based on its cash flows. Over the past year the stock has delivered a very large gain of about 11x, so a lot now depends on whether the...