MU, SNDK, SKHY, WDC Stocks Drop Overnight: AI Memory Giants Suffer Reversal As IBM-Driven Rally Fades

Memory stocks including Micron (MU), SanDisk (SNDK), SK hynix (SKHY), and Western Digital (WDC) tumbled overnight, extending an 8-9% Wednesday decline despite broader market gains. The selloff appears driven by profit-taking after Tuesday's rally was sparked by IBM CEO Arvind Krishna's comments that clients were shifting capex toward AI servers, storage, and memory to secure supply-constrained infrastructure.

Why it matters: Analysts remain bullish on the sector, with KeyBanc raising its Micron price target to $1,750 and noting that tight HBM3e/HBM4 supply is expected to persist through 2027, supporting long-term pricing power.