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TTM Technologies vs. SanDisk: Which AI Infra Stock is a Better Buy?
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Key Takeaways
TTMI is benefiting from rising AI-driven demand for complex PCBs in data center infrastructure.
SanDisk is expanding AI data center storage demand through its BiCS8 NAND flash platform.
SNDK has stronger growth and margin trends than TTMI in the AI infrastructure market.
TTM Technologies (TTMI - Free Report) and SanDisk (SNDK - Free Report) are strongly placed to capitalize on the rapidly expanding AI infrastructure market. TTMI manufactures highly complex printed circuit boards (PCBs) and advanced interconnect solutions. These form the physical backbone of modern AI data centers. SanDisk, a pure-play NAND flash memory company, supplies high-performance storage central to AI workloads, spanning large-scale model inference to real-time reasoning and agentic systems.
The accelerating AI capital expenditure cycle, rising hyperscaler infrastructure spending, and growing demand for performance-intensive compute solutions have served as common tailwinds for TTMI and SNDK. However, how each company is strategically positioned to capture and sustain this opportunity differs materially between the two. Let us delve deep to determine which stock is the better buy.
The Case for TTMI
TTMI is well-positioned to capitalize on the accelerating infrastructure buildout driven by generative AI. The rapid expansion of AI accelerators and LLMs is driving sustained demand for increasingly complex PCBs. Data center architectures now require denser, higher-layer-count interconnect solutions to support growing compute workloads. TTMI's manufacturing processes are engineered to handle this precision and complexity, serving as a meaningful differentiator.
The demand has been evident in the first quarter of 2026 performance, as the data center and networking end market grew to 36% of total revenues, registering 61% year-over-year growth. This share is expected to expand to 42% in the second quarter of 2026. The 90-day backlog reached $787 million, up 52.2% from a year ago, with the commercial segment book-to-bill at 1.65.
The company engages early with customers on product development, aligning capacity ahead of production ramp. The Syracuse facility is expected to deliver first revenues in the second half of 2026, contributing $115 million to $125 million annually. Beyond AI infrastructure, TTMI also serves the aerospace and defense market, offering meaningful diversification. The ongoing Penang facility ramp, however, is expected to weigh on gross margins, with an 80-basis-point headwind projected for 2026.
TTMI expects 2026 revenues of $4 billion, implying 38% year-over-year growth, with a longer-term target to double earnings between 2025 and 2027. The Zacks Consensus Estimate for TTMI's 2026 revenues is pegged at $3.83 billion, indicating year-over-year growth of 31.65%. While the consensus mark for EPS is pegged at $3.60, suggesting year-over-year growth of 46.34%. The earnings estimate has been revised upward by 11.11% over the past 30 days.
SanDisk's BiCS8 NAND flash platform has transitioned from a peripheral storage technology to a critical architectural component of AI infrastructure. As AI models grow in scale, the volume of data requiring low-latency access, spanning model parameters, contextual memory and inference outputs, has expanded dramatically, positioning SanDisk as a natural partner of choice for hyperscalers building next-generation AI data centers. This makes NAND flash the most scalable and economically viable solution to deliver the capacity, speed and efficiency that real-time AI inference demands.
This shift has been evident in SanDisk's third quarter of fiscal 2026, where total revenues reached $5.95 billion, up 251% year over year. The data center segment alone grew 233% sequentially to $1,467 million, driven by accelerating enterprise SSD adoption across AI data center deployments. Gross margin reached 78.4% adjusted free cash flow stood at $2,955 million, representing a 49.7% adjusted free cash flow margin, reflecting the operating leverage embedded in SanDisk's vertically integrated model spanning manufacturing through chip design to final assembly.
Under SanDisk's New Business Model framework, multi-year supply agreements are being signed with major customers. Five agreements have been secured, carrying minimum contractual revenues of $42 billion and financial guarantees exceeding $11 billion, covering over one-third of bit shipments in fiscal 2027. These partnerships are designed to structurally reduce the cyclicality historically associated with NAND markets, delivering more predictable and durable returns.
The Zacks Consensus Estimate for SNDK's 2026 revenues is pegged at $18.62 billion, indicating year-over-year growth of 153.17%. The consensus estimate for EPS stands at $64.82 compared to $2.99 in 2025, marking an extraordinary turnaround in earnings power. The earnings estimate has been revised upward by 55.8% over the past 30 days.
While both stocks have been exceptional year-to-date performers, SNDK's 461.5% return has significantly outpaced TTMI's 130.2% appreciation, reflecting the far greater magnitude of SanDisk's earnings inflection.
YTD Performance
Image Source: Zacks Investment Research
While SNDK trades at a modest premium on a forward price-to-sales basis at 5.14X versus TTMI's 4.05X, this premium appears well-supported, given SanDisk's superior revenue growth trajectory, higher gross margin profile and the contractually secured earnings visibility offered by its New Business Model agreements.
Forward 12-Month (P/S) Valuation
Image Source: Zacks Investment Research
Conclusion
Both TTMI and SNDK are well-placed to benefit from the AI infrastructure buildout, yet SanDisk's structurally superior margins, explosive revenue growth and contractually secured demand through its New Business Model agreements make it the more compelling buy at this stage.
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TTM Technologies vs. SanDisk: Which AI Infra Stock is a Better Buy?
Key Takeaways
TTM Technologies (TTMI - Free Report) and SanDisk (SNDK - Free Report) are strongly placed to capitalize on the rapidly expanding AI infrastructure market. TTMI manufactures highly complex printed circuit boards (PCBs) and advanced interconnect solutions. These form the physical backbone of modern AI data centers. SanDisk, a pure-play NAND flash memory company, supplies high-performance storage central to AI workloads, spanning large-scale model inference to real-time reasoning and agentic systems.
The accelerating AI capital expenditure cycle, rising hyperscaler infrastructure spending, and growing demand for performance-intensive compute solutions have served as common tailwinds for TTMI and SNDK. However, how each company is strategically positioned to capture and sustain this opportunity differs materially between the two. Let us delve deep to determine which stock is the better buy.
The Case for TTMI
TTMI is well-positioned to capitalize on the accelerating infrastructure buildout driven by generative AI. The rapid expansion of AI accelerators and LLMs is driving sustained demand for increasingly complex PCBs. Data center architectures now require denser, higher-layer-count interconnect solutions to support growing compute workloads. TTMI's manufacturing processes are engineered to handle this precision and complexity, serving as a meaningful differentiator.
The demand has been evident in the first quarter of 2026 performance, as the data center and networking end market grew to 36% of total revenues, registering 61% year-over-year growth. This share is expected to expand to 42% in the second quarter of 2026. The 90-day backlog reached $787 million, up 52.2% from a year ago, with the commercial segment book-to-bill at 1.65.
The company engages early with customers on product development, aligning capacity ahead of production ramp. The Syracuse facility is expected to deliver first revenues in the second half of 2026, contributing $115 million to $125 million annually. Beyond AI infrastructure, TTMI also serves the aerospace and defense market, offering meaningful diversification. The ongoing Penang facility ramp, however, is expected to weigh on gross margins, with an 80-basis-point headwind projected for 2026.
TTMI expects 2026 revenues of $4 billion, implying 38% year-over-year growth, with a longer-term target to double earnings between 2025 and 2027. The Zacks Consensus Estimate for TTMI's 2026 revenues is pegged at $3.83 billion, indicating year-over-year growth of 31.65%. While the consensus mark for EPS is pegged at $3.60, suggesting year-over-year growth of 46.34%. The earnings estimate has been revised upward by 11.11% over the past 30 days.
TTM Technologies, Inc. Price and Consensus
TTM Technologies, Inc. price-consensus-chart | TTM Technologies, Inc. Quote
The Case for SNDK
SanDisk's BiCS8 NAND flash platform has transitioned from a peripheral storage technology to a critical architectural component of AI infrastructure. As AI models grow in scale, the volume of data requiring low-latency access, spanning model parameters, contextual memory and inference outputs, has expanded dramatically, positioning SanDisk as a natural partner of choice for hyperscalers building next-generation AI data centers. This makes NAND flash the most scalable and economically viable solution to deliver the capacity, speed and efficiency that real-time AI inference demands.
This shift has been evident in SanDisk's third quarter of fiscal 2026, where total revenues reached $5.95 billion, up 251% year over year. The data center segment alone grew 233% sequentially to $1,467 million, driven by accelerating enterprise SSD adoption across AI data center deployments. Gross margin reached 78.4% adjusted free cash flow stood at $2,955 million, representing a 49.7% adjusted free cash flow margin, reflecting the operating leverage embedded in SanDisk's vertically integrated model spanning manufacturing through chip design to final assembly.
Under SanDisk's New Business Model framework, multi-year supply agreements are being signed with major customers. Five agreements have been secured, carrying minimum contractual revenues of $42 billion and financial guarantees exceeding $11 billion, covering over one-third of bit shipments in fiscal 2027. These partnerships are designed to structurally reduce the cyclicality historically associated with NAND markets, delivering more predictable and durable returns.
The Zacks Consensus Estimate for SNDK's 2026 revenues is pegged at $18.62 billion, indicating year-over-year growth of 153.17%. The consensus estimate for EPS stands at $64.82 compared to $2.99 in 2025, marking an extraordinary turnaround in earnings power. The earnings estimate has been revised upward by 55.8% over the past 30 days.
Sandisk Corporation Price and Consensus
Sandisk Corporation price-consensus-chart | Sandisk Corporation Quote
Price Performance and Valuation of TTMI & SNDK
While both stocks have been exceptional year-to-date performers, SNDK's 461.5% return has significantly outpaced TTMI's 130.2% appreciation, reflecting the far greater magnitude of SanDisk's earnings inflection.
YTD Performance
Image Source: Zacks Investment Research
While SNDK trades at a modest premium on a forward price-to-sales basis at 5.14X versus TTMI's 4.05X, this premium appears well-supported, given SanDisk's superior revenue growth trajectory, higher gross margin profile and the contractually secured earnings visibility offered by its New Business Model agreements.
Forward 12-Month (P/S) Valuation
Image Source: Zacks Investment Research
Conclusion
Both TTMI and SNDK are well-placed to benefit from the AI infrastructure buildout, yet SanDisk's structurally superior margins, explosive revenue growth and contractually secured demand through its New Business Model agreements make it the more compelling buy at this stage.
SNDK sports a Zacks Rank #1 (Strong Buy), while TTMI has a Zacks Rank #3 (Hold) at present. You can see the complete list of today's Zacks #1 Rank stocks here.