Home > Comparison > Technology > SNDK vs KEYS
The strategic rivalry between Sandisk Corporation and Keysight Technologies defines the current trajectory of the technology sector’s hardware and equipment industry. Sandisk operates as a capital-intensive manufacturer of NAND flash storage devices, while Keysight excels as a diversified test and measurement solutions provider. This comparison pits asset-heavy production against high-value electronic design services. This analysis will clarify which corporate model delivers superior risk-adjusted returns for a balanced portfolio.
Table of contents
Companies Overview
Sandisk Corporation and Keysight Technologies, Inc. are pivotal players in the technology hardware sector, shaping innovation and demand.
Sandisk Corporation: Flash Storage Pioneer
Sandisk dominates the NAND flash storage market, generating revenue through solid-state drives, embedded products, and removable memory cards. In 2026, its strategic focus remains on advancing storage solutions and expanding product integration. The company leverages its long-standing expertise to maintain a robust position in memory technology.
Keysight Technologies, Inc.: Test & Measurement Leader
Keysight specializes in electronic design and test solutions, serving communications, aerospace, and semiconductor industries. Its revenue stems from hardware, software, and test platforms including oscilloscopes and network analyzers. The 2026 strategy emphasizes broadening test capabilities and supporting digital transformation across diverse sectors.
Strategic Collision: Similarities & Divergences
Both companies excel in hardware and equipment, but Sandisk centers on storage innovation, while Keysight leads in electronic testing infrastructure. Their competition unfolds in technology development and integration, targeting overlapping yet distinct customer bases. Investors face contrasting profiles: Sandisk focuses on high-growth memory markets, Keysight on steady, diversified test solutions.
Income Statement Comparison
This data dissects the core profitability and scalability of both corporate engines to reveal who dominates the bottom line in their most recent fiscal year:
| Metric | Sandisk Corporation (SNDK) | Keysight Technologies, Inc. (KEYS) |
|---|---|---|
| Revenue | 7.36B | 5.38B |
| Cost of Revenue | 5.14B | 2.04B |
| Operating Expenses | 3.59B | 2.39B |
| Gross Profit | 2.21B | 3.34B |
| EBITDA | -1.25B | 1.43B |
| EBIT | -1.42B | 1.15B |
| Interest Expense | 63M | 96M |
| Net Income | -1.64B | 846M |
| EPS | -11.32 | 4.90 |
| Fiscal Year | 2025 | 2025 |
Income Statement Analysis: The Bottom-Line Duel
This income statement comparison reveals the true efficiency and profitability of Sandisk Corporation and Keysight Technologies over recent years.
Sandisk Corporation Analysis
Sandisk’s revenue declined 25% from 2022 to 2025, sliding from 9.75B to 7.35B. Net income turned sharply negative, plunging from a 1.06B profit in 2022 to a -1.64B loss in 2025. The gross margin held at a moderate 30%, but negative EBIT and net margins signal deteriorating operational efficiency and profitability momentum in the latest year.
Keysight Technologies, Inc. Analysis
Keysight’s revenue grew steadily by nearly 9% over 2021–2025, reaching 5.38B in 2025. Net income, while slightly down overall, rebounded to 846M in 2025 from a low in 2024. Strong gross margin above 62% and healthy EBIT and net margins demonstrate robust operational leverage and improving profitability, highlighting efficient cost management and strategic momentum.
Margin Strength vs. Profitability Decline
Keysight clearly outperforms Sandisk with superior margins and positive net income trends. Sandisk struggles with shrinking revenue and deep losses despite a stable gross margin. Investors seeking operational efficiency and profit resilience find Keysight’s profile more attractive and fundamentally stronger in this comparison.
Financial Ratios Comparison
These vital ratios act as a diagnostic tool to expose the underlying fiscal health, valuation premiums, and capital efficiency of the companies compared below:
| Ratios | Sandisk Corporation (SNDK) | Keysight Technologies, Inc. (KEYS) |
|---|---|---|
| ROE | -17.8% | 14.4% |
| ROIC | -11.9% | 8.0% |
| P/E | -4.17 | 37.41 |
| P/B | 0.74 | 5.39 |
| Current Ratio | 3.56 | 2.35 |
| Quick Ratio | 2.11 | 1.78 |
| D/E | 0.22 | 0.51 |
| Debt-to-Assets | 15.7% | 26.3% |
| Interest Coverage | -21.9 | 9.88 |
| Asset Turnover | 0.57 | 0.48 |
| Fixed Asset Turnover | 11.88 | 5.21 |
| Payout ratio | 0 | 0 |
| Dividend yield | 0 | 0 |
| Fiscal Year | 2025 | 2025 |
Efficiency & Valuation Duel: The Vital Signs
Financial ratios act as a company’s DNA, revealing underlying risks and operational performance often hidden from headline figures.
Sandisk Corporation
Sandisk shows deeply negative profitability, with ROE at -17.8% and a net margin of -22.3%, signaling operational struggles. Its valuation appears cheap, reflected by a negative P/E and a low price-to-book ratio of 0.74. The firm pays no dividends, instead allocating significant resources to R&D, as seen in its elevated expense ratios.
Keysight Technologies, Inc.
Keysight posts solid profitability with a 14.4% ROE and a positive net margin near 15.7%, indicating efficient operations. The stock trades at a premium, with a P/E of 37.4 and a high price-to-book of 5.39, suggesting stretched valuation. It does not yield dividends, focusing on growth through steady R&D investment and free cash flow generation.
Premium Valuation vs. Operational Safety
Keysight offers stronger profitability and operational efficiency but commands a high valuation. Sandisk’s low valuation contrasts with persistent losses and operational challenges. Investors seeking growth and quality may prefer Keysight, while those targeting value must weigh Sandisk’s risks carefully.
Which one offers the Superior Shareholder Reward?
I observe that neither Sandisk Corporation (SNDK) nor Keysight Technologies (KEYS) pays dividends. Sandisk suffers persistent net losses and negative free cash flow (-0.8 to -6.5 per share recently), signaling weak cash generation to support buybacks or dividends. Keysight posts healthy net margins (~15%), strong free cash flow (~5-7 per share), and steadily invests in capex (~0.7-1.1 per share). Both companies do not report dividend payouts, but Keysight’s sustainable operating cash flow and moderate debt (debt-to-capital ~30%) enable it to maintain aggressive buybacks, unlike Sandisk. I conclude Keysight offers a superior shareholder reward through disciplined capital allocation and stronger cash returns in 2026.
Comparative Score Analysis: The Strategic Profile
The radar chart reveals the fundamental DNA and trade-offs of Sandisk Corporation and Keysight Technologies, Inc.:
Keysight dominates in profitability with superior ROE and ROA scores (4 versus Sandisk’s 1). Sandisk’s strength lies in a conservative debt profile (score 4), while Keysight carries moderate leverage (score 2). Keysight’s discounted cash flow and valuation metrics also outperform Sandisk, indicating better growth visibility and fairer pricing. Overall, Keysight presents a more balanced and robust financial profile, whereas Sandisk leans heavily on its low debt advantage but struggles in profitability and valuation.
Bankruptcy Risk: Solvency Showdown
Keysight’s Altman Z-Score of 6.1 versus Sandisk’s 18.9 confirms both firms are in the safe zone, but Sandisk’s extremely high score signals exceptional financial resilience and minimal bankruptcy risk:
Financial Health: Quality of Operations
Sandisk’s Piotroski F-Score of 5 slightly edges Keysight’s 4, indicating modestly better operational health. Neither firm signals red flags, but both show room for improvement to reach peak financial strength:
How are the two companies positioned?
This section dissects SNDK and KEYS’s operational DNA by comparing revenue distribution and internal dynamics. The goal is to confront their economic moats to identify the most resilient competitive advantage today.
Revenue Segmentation: The Strategic Mix
This visual comparison dissects how Sandisk Corporation and Keysight Technologies diversify their income streams and where their primary sector bets lie:
Sandisk relies heavily on Client Devices, which anchors $4.13B, while Consumer and Cloud contribute $2.27B and $960M, respectively. Keysight shows a more balanced mix with $3.42B from Communications Solutions and $1.56B from Electronic Industrial Solutions. Sandisk’s focus on client devices signals concentration risk, whereas Keysight’s broad segmentation reflects strategic diversification and infrastructure dominance.
Strengths and Weaknesses Comparison
This table compares the Strengths and Weaknesses of Sandisk Corporation and Keysight Technologies, Inc.:
Sandisk Corporation Strengths
- Strong diversification across Client Devices, Consumer, and Cloud segments
- Solid geographic presence in China, EMEA, Hong Kong, and US
- Favorable debt metrics including low debt-to-assets and debt-to-equity ratios
- High fixed asset turnover indicating efficient asset use
Keysight Technologies Strengths
- Consistent revenue from Communications and Electronic Industrial Solutions groups
- Favorable net margin and interest coverage ratios
- Good liquidity ratios with solid current and quick ratios
- Global reach spanning Americas, Asia Pacific, and Europe
Sandisk Corporation Weaknesses
- Negative profitability ratios: net margin, ROE, and ROIC below zero
- Unfavorable weighted average cost of capital (WACC) and interest coverage
- High current ratio flagged as unfavorable, indicating potential liquidity management issues
- No dividend yield
Keysight Technologies Weaknesses
- High price-to-earnings and price-to-book ratios suggest overvaluation
- Unfavorable asset turnover ratio, indicating less efficient use of assets
- No dividend yield
- Moderate debt-to-equity ratio and neutral ROE and ROIC
Overall, Sandisk shows strengths in diversification and conservative leverage but suffers from poor profitability and liquidity challenges. Keysight demonstrates solid profitability and global reach but faces valuation concerns and moderate operational efficiency. Both companies exhibit balanced favorable and unfavorable financial traits, shaping distinct strategic priorities.
The Moat Duel: Analyzing Competitive Defensibility
A structural moat alone shields long-term profits from relentless competitive erosion. Let’s dissect how Sandisk and Keysight defend their turf:
Sandisk Corporation: Cost-Driven Technology Moat
Sandisk’s competitive edge stems from cost advantages in NAND flash production. Yet, its negative ROIC trend signals weakening profitability. New product launches in 2026 must reverse this decline to sustain the moat.
Keysight Technologies, Inc.: Innovation and Customer Intimacy Moat
Keysight leverages intangible assets and strong customer relationships, delivering higher margins than Sandisk. Despite a slight ROIC decline, its diversified test solutions position it well to capture emerging markets in 2026.
Verdict: Cost Efficiency vs. Innovation Leadership
Both firms face shrinking ROICs, eroding their moats. However, Keysight’s broader innovation moat and stable margin profile offer deeper competitive defensibility. It’s better equipped to defend and grow market share amid industry shifts.
Which stock offers better returns?
Over the past year, both Sandisk Corporation and Keysight Technologies, Inc. showed significant price appreciation, with Sandisk demonstrating a more pronounced upward momentum and trading volume dominance.
Trend Comparison
Sandisk’s stock surged 1472.31% over the past year, marking a strong bullish trend with accelerating gains and a high volatility level, peaking at 576.25.
Keysight’s stock rose 40.17% over the same period, also bullish with acceleration, but showing much lower volatility and a top price of 216.33.
Sandisk outperformed Keysight substantially, delivering far higher returns and stronger price momentum during the analyzed timeframe.
Target Prices
Analysts present a mixed but generally bullish consensus on Sandisk Corporation and Keysight Technologies, Inc.
| Company | Target Low | Target High | Consensus |
|---|---|---|---|
| Sandisk Corporation | 220 | 1000 | 614.62 |
| Keysight Technologies, Inc. | 210 | 243 | 226.5 |
Sandisk’s consensus target of 615 exceeds its current price of 576, suggesting modest upside potential. Keysight’s target consensus at 226.5 slightly surpasses its current 216, indicating cautious optimism.
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How do institutions grade them?
Sandisk Corporation Grades
The following table summarizes recent grades for Sandisk Corporation from major institutions.
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Jefferies | Maintain | Buy | 2026-01-30 |
| RBC Capital | Maintain | Sector Perform | 2026-01-30 |
| Goldman Sachs | Maintain | Buy | 2026-01-30 |
| Morgan Stanley | Maintain | Overweight | 2026-01-30 |
| Cantor Fitzgerald | Maintain | Overweight | 2026-01-30 |
| Wedbush | Maintain | Outperform | 2026-01-30 |
| Citigroup | Maintain | Buy | 2026-01-20 |
| Wells Fargo | Maintain | Equal Weight | 2026-01-15 |
| Benchmark | Maintain | Buy | 2026-01-15 |
| Bernstein | Maintain | Outperform | 2026-01-14 |
Keysight Technologies, Inc. Grades
Below is a summary of recent grades for Keysight Technologies, Inc. from reputable grading institutions.
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Morgan Stanley | Maintain | Equal Weight | 2025-12-17 |
| Jefferies | Maintain | Hold | 2025-12-10 |
| Baird | Maintain | Outperform | 2025-11-26 |
| Barclays | Maintain | Overweight | 2025-11-25 |
| Morgan Stanley | Maintain | Equal Weight | 2025-11-25 |
| Wells Fargo | Maintain | Overweight | 2025-11-25 |
| JP Morgan | Maintain | Overweight | 2025-11-25 |
| Susquehanna | Maintain | Positive | 2025-11-25 |
| Citigroup | Maintain | Buy | 2025-11-25 |
| UBS | Maintain | Buy | 2025-11-25 |
Which company has the best grades?
Sandisk receives predominantly Buy, Overweight, and Outperform ratings, indicating stronger analyst confidence. Keysight shows more mixed reviews with Equal Weight and Hold grades present. Investors may view Sandisk’s grades as a signal of higher institutional conviction.
Risks specific to each company
The following categories identify the critical pressure points and systemic threats facing both firms in the 2026 market environment:
1. Market & Competition
Sandisk Corporation
- Faces intense competition in NAND flash technology with volatile pricing pressures.
Keysight Technologies, Inc.
- Operates in diverse sectors, reducing competitive intensity but faces rapid tech evolution risks.
2. Capital Structure & Debt
Sandisk Corporation
- Low debt-to-equity ratio (0.22) signals conservative leverage but poor interest coverage (-22.48) raises solvency concerns.
Keysight Technologies, Inc.
- Moderate leverage (0.51) with strong interest coverage (11.98) indicates sound debt management and financial stability.
3. Stock Volatility
Sandisk Corporation
- Extremely high beta (4.89) implies significant stock price volatility and market sensitivity.
Keysight Technologies, Inc.
- Beta near market average (1.18) suggests more stable stock performance and lower risk.
4. Regulatory & Legal
Sandisk Corporation
- Subject to technology export controls and IP risks in semiconductor hardware.
Keysight Technologies, Inc.
- Exposed to regulatory scrutiny across multiple industries including aerospace and defense.
5. Supply Chain & Operations
Sandisk Corporation
- Reliant on complex semiconductor supply chains vulnerable to geopolitical disruptions.
Keysight Technologies, Inc.
- Diverse product lines and geographic reach help mitigate supply chain risks.
6. ESG & Climate Transition
Sandisk Corporation
- Faces pressure to reduce carbon footprint in energy-intensive manufacturing processes.
Keysight Technologies, Inc.
- Advanced in ESG disclosures and climate initiatives, aligning with investor expectations.
7. Geopolitical Exposure
Sandisk Corporation
- High exposure to US-China trade tensions impacting supply and sales.
Keysight Technologies, Inc.
- Balanced global presence with moderate geopolitical risk.
Which company shows a better risk-adjusted profile?
Keysight faces moderate leverage and stable profitability, offering a better risk-adjusted profile. Sandisk’s extreme stock volatility and poor profitability metrics increase its risk. The critical risk for Sandisk is financial distress indicated by negative margins and interest coverage. Keysight’s main risk lies in competitive pressure across multiple sectors. Keysight’s Altman Z-score of 6.14 confirms financial safety, while Sandisk’s high beta (4.89) signals high market risk.
Final Verdict: Which stock to choose?
Sandisk Corporation’s superpower lies in its robust liquidity and operational agility, evidenced by a strong current ratio and efficient fixed asset turnover. However, its persistent negative profitability and value destruction serve as a key point of vigilance. It might suit aggressive growth portfolios willing to tolerate volatility for a potential turnaround.
Keysight Technologies commands a strategic moat through its high gross margins and consistent free cash flow generation, underpinning its recurring revenue safety. Compared to Sandisk, it offers better financial stability, making it a more fitting candidate for GARP investors seeking steady growth without excessive risk.
If you prioritize turnaround potential with a tolerance for financial headwinds, Sandisk might offer a speculative edge. However, if you seek a resilient growth story with healthier cash flows and operational discipline, Keysight outshines as a more stable choice. Both companies currently face declining ROIC trends, highlighting the need for cautious monitoring of value creation dynamics.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of Sandisk Corporation and Keysight Technologies, Inc. to enhance your investment decisions:
