{"id":588363,"date":"2026-07-16T09:02:14","date_gmt":"2026-07-16T09:02:14","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/588363\/"},"modified":"2026-07-16T09:02:14","modified_gmt":"2026-07-16T09:02:14","slug":"mu-sndk-skhy-wdc-stocks-drop-overnight-ai-memory-giants-suffer-reversal-as-ibm-driven-rally-fades","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/588363\/","title":{"rendered":"MU, SNDK, SKHY, WDC Stocks Drop Overnight: AI Memory Giants Suffer Reversal As IBM-Driven Rally Fades"},"content":{"rendered":"\n<ul class=\"yf-1jsc1up\">\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Memory stocks rallied Tuesday after IBM said customers were shifting spending toward AI servers, storage and memory.  <\/p>\n<\/li>\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The following selloff on Wednesday appeared to be driven by profit-taking rather than weaker AI demand.  <\/p>\n<\/li>\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Analysts remain bullish on AI memory demand, with the supply of high-bandwidth memory expected to stay tight through 2027.  <\/p>\n<\/li>\n<\/ul>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The artificial intelligence hardware rally hit a sharp reversal Wednesday and overnight as leading memory and storage stocks, including Micron (MU), SanDisk (SNDK), SK hynix (SKHY) and Western Digital (WDC), tumbled despite broader markets gaining ground after investors moved quickly from chasing AI chip winners to locking in profits, triggering a swift selloff across the memory sector.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Micron, SanDisk, SK hynix, and Western Digital stocks declined between 0.6% and 4% overnight, extending their 8% to 9% decline on Wednesday.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\"><a href=\"https:\/\/stocktwits.com\/newsletters\" data-ylk=\"slk:See%20what%2010M%2B%20investors%20are%20talking%20about.%20Get%20the%20Stocktwits%20Daily%20Rip%20for%20what%20retail%20is%20watching%20right%20now%2C%20free%20to%20your%20inbox;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;See what 10M+ investors are talking about. Get the Stocktwits Daily Rip for what retail is watching right now, free to your inbox&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">See what 10M+ investors are talking about. Get the Stocktwits Daily Rip for what retail is watching right now, free to your inbox<\/a>  <\/p>\n<p>        How Did The Market Reversal Unfold          <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The downturn followed a strong session on Tuesday, when memory manufacturers surged after IBM <a href=\"https:\/\/stocktwits.com\/news-articles\/markets\/equity\/adbe-crm-now-msft-software-stocks-fall-after-ibm-warns-clients-shifting-spending-to-servers-cybersecurity\/cZZ28PZR7qw\" data-ylk=\"slk:highlighted;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;highlighted&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">highlighted<\/a> growing demand from corporate customers for physical infrastructure supporting AI workloads.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">&#8220;In the last few \u2060weeks of June, we saw clients shift their quarterly capex spend toward servers, storage, and memory purchases to secure supply-constrained infrastructure ahead of \u200bexpected price increases,&#8221; said IBM CEO Arvind Krishna.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The statement led to a rally in memory stocks on Tuesday. So, the latest selloff appeared to be driven by trading activity rather than by weakening demand for AI hardware.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The decline also came as investors reduced exposure across semiconductor stocks, with companies such as AMD and Intel also falling despite favorable inflation data lifting the broader market. Adding to the pressure were concerns about high valuations, making the stocks vulnerable to profit-taking and a broader shift of money into other sectors.  <\/p>\n<p>        Fundamentals Remain Strong For Memory Players          <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Despite the decline, demand for AI-related memory chips remains strong. The limited supply of newer memory technologies such as HBM3e and HBM4 is expected to continue until 2027, supporting the sector&#8217;s long-term growth.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">KeyBanc on Tuesday lifted its price target on Micron to $1,750 from $1,600 while maintaining an &#8216;Overweight&#8217; rating on the stock, citing optimism about AI-related demand across the semiconductor supply chain.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">KeyBanc said limited supplies of DRAM and NAND memory are keeping prices high. The firm added that tight supply is helping memory companies maintain strong pricing as customers compete for available chips.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Barclays started coverage of SK Hynix with an &#8216;Overweight&#8217; rating and a $330 price target, citing tighter supply through 2027 and only limited improvement in 2028.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">On Monday, UBS raised its price target on Western Digital to $560 from $375 but kept a &#8216;Neutral&#8217; rating on the stock. The firm expects Western Digital to report results that beat Wall Street estimates and come in at the upper end of the company&#8217;s guidance.  <\/p>\n<p>       SNDK&#8217;s Sharp Run Raises Risks         <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Argus initiated coverage of SanDisk with a &#8216;Hold&#8217; rating, noting that it remains a leading supplier of NAND flash technology and is well positioned to benefit from continued demand for nonvolatile memory products.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">While the long-term outlook for memory demand remains favorable, Argus warned that SanDisk&#8217;s shares have already reflected much of that optimism.  <\/p>\n<p>          Memory Stocks: What Retail Traders Are Feeling         <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">On Stocktwits, retail sentiment around SanDisk and SK Hynix remained in &#8216;bullish&#8217; territory, while sentiment around Micron shifted to &#8216;neutral&#8217; from &#8216;bearish&#8217; the previous day. Sentiment around Western Digital remained in &#8216;extremely bearish&#8217; territory.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">So far this year, MU, SNDK and WDC stocks have gained between 198% and 580%, while SKHY stock has gained 5% since its debut last week.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Also See: <a href=\"https:\/\/stocktwits.com\/news-articles\/markets\/equity\/asml-stock-eyes-second-weekly-gains-retail-bulls-call-chipmaker-the-ultimate-gatekeeper-of-tech\/cZZ3CuOR7rp\" data-ylk=\"slk:ASML%20Stock%20Eyes%20Second%20Weekly%20Gains%3A%20Retail%20Bulls%20Call%20Chipmaker%20The%20&#039;Ultimate%20Gatekeeper%20Of%20Tech&#039;;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;ASML Stock Eyes Second Weekly Gains: Retail Bulls Call Chipmaker The &#039;Ultimate Gatekeeper Of Tech&#039;&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">ASML Stock Eyes Second Weekly Gains: Retail Bulls Call Chipmaker The &#8216;Ultimate Gatekeeper Of Tech&#8217;<\/a>  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">For updates and corrections, email newsroom[at]stocktwits[dot]com.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Shivani Kumaresan has no position in any of the stocks mentioned in this article. StockTwits&#8217; news team content is for informational purposes only and is not intended as investment advice. For more, see our <a href=\"https:\/\/stocktwits.com\/about-newsroom\" data-ylk=\"slk:editorial%20policy;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;editorial policy&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">editorial policy<\/a>. This article was originally published on <a href=\"https:\/\/stocktwits.com\/news\/articles\" data-ylk=\"slk:StockTwits;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;StockTwits&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">StockTwits<\/a>.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\"><strong>Related:<\/strong>  <\/p>\n","protected":false},"excerpt":{"rendered":"Memory stocks rallied Tuesday after IBM said customers were shifting spending toward AI servers, storage and memory. The&hellip;\n","protected":false},"author":2,"featured_media":554088,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[261],"tags":[291,289,290,18,19,17,97997,82,90795],"class_list":["post-588363","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-eire","tag-ie","tag-ireland","tag-sandisk","tag-technology","tag-western-digital"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/116928849204459418","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/588363","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=588363"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/588363\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/554088"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=588363"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=588363"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=588363"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}