Mixed reports from Intel and Amazon sent AI Infrastructure stocks into a tailspin Thursday.

  • Western Digital, Seagate, Micron, and SK Hynix shares dropped in overnight trading late Thursday.
  • The move in SNDK suggests investors were locking in profits after its sharp rally over the past year.
  • SanDisk’s Q1 results and Q1 guidance were above market expectations.

SanDisk (SNDK) stock tumbled over 4% in overnight trading late Thursday despite upbeat quarterly results and forecast, amid a broader selloff in chip and AI infrastructure stocks following mixed reports by Intel (INTC) and Amazon (AMZN).

SanDisk’s peers Western Digital (WDC) and Seagate Technology (STX) fell about 6% each, while Micron (MU) declined over 4%. 

The weakness spilled over to the South Korean chip stocks. SK Hynix fell more than 8% in Seoul on Friday, and Samsung Electronics plunged 6%, dragging the Kospi down 5.3%. In the U.S., the Roundhill Memory ETF (DRAM) fell more than 5%.

The reaction to SanDisk’s report mirrors the drop after upbeat reports from Western Digital and Seagate recently, another sign investors were locking in profits after their sharp rally over the past year. As of the last close, SNDK stock gained a whopping 460%. 

SanDisk’s Q1 Performance

SanDisk’s fiscal first-quarter revenue soared 380% to $11.03 billion, beating analysts’ expectations of $10.72 billion from FactSet. Adjusted profit also came in higher than expected at $49.51, up from $46.67.

The company raised Q2 revenue guidance from $12.2 billion to $12.6 billion and adjusted earnings from $55 to $57 per share. Analysts had projected $12.31 billion in revenue and adjusted earnings of $53.60 a share.

The company announced an  8-for-1 stock split, effective Nov. 19. 

"We have started fiscal year 2027 with another quarter of strong performance, with robust and growing demand for our products driving outpaced growth in our data center business," CEO David Goeckeler said in a press release.

Retail View On SNDK

On Stocktwits, the retail sentiment for SNDK shifted to ‘extremely bullish’ from ‘bullish,’ amid ‘high’ message volume.

“$SNDK… Awesome earnings, buyback, share split. WT* more do you want! We should be above $1,600 now!” remarked a trader, while another said, “$SOXX this is so stupid. Let’s ignore $SNDK  beat and $AMZN  decision to increase capex and focus on shitty Intel PC sales.”

Another wrote: “$SNDK please be careful do not stay short tonight or you are going to lose everything tomorrow… you never see a stock announce stock split 8 for 1 and report a blow out numbers and raised guidance by a mile and the stock goes down esp… I am looking for 1650 close,”

As of the last close, SanDisk shares had gained 460% year to date.

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