SanDisk shares fell 7.2% on Tuesday, marking a sharp reversal for the former S&P 500 top performer. The decline mirrored losses at major peers Western Digital and Seagate, signaling a potential stall in the memory chip sector's recent rally.
Surging prices and high demand from AI data center expansions previously drove unprecedented gains for these stocks over the past year. However, investor sentiment is now showing signs of strain despite continued supply shortages.
Sentiment for SanDisk on the Stocktwits platform has officially shifted to bearish. This downturn follows a period of record-breaking growth for the broader memory chip market.