{"id":805315,"date":"2026-07-16T09:11:19","date_gmt":"2026-07-16T09:11:19","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/805315\/"},"modified":"2026-07-16T09:11:19","modified_gmt":"2026-07-16T09:11:19","slug":"dell-micron-sandisk-tumble-as-ai-hardware-rally-hits-reversal","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/805315\/","title":{"rendered":"Dell, Micron, SanDisk tumble as AI hardware rally hits reversal"},"content":{"rendered":"\n

A broad selloff hit AI-linked hardware and chip stocks on Wednesday as investors locked in gains from a months-long rally and questioned how long red-hot demand for AI infrastructure can support current valuations. <\/p>\n

Dell Technologies Inc (NASDAQ:DELL)<\/a> fell as much as 12%, touching a session low of $397.69, after a report that Meta Platforms is developing plans to lease out surplus AI training and inference capacity to enterprise customers. The news stoked concern that hyperscale cloud providers may have over-built data center infrastructure, a development that could slow future server orders for system integrators such as Dell. <\/p>\n

Rising memory costs added to the pressure on Dell’s margins, given that AI-optimized servers already carry lower gross margins than the company’s traditional hardware lines. GF Securities recently downgraded the stock to “Hold” from “Buy,” citing a stretched valuation after shares had rallied roughly 200% and traded near 34 times forward earnings. Extensive insider selling, totaling about $1.56 billion over three months with no offsetting purchases, has also weighed on sentiment. <\/p>\n

Micron Technology Inc (NASDAQ:MU)<\/a> dropped about 9%, extending losses as investors weighed reports that Washington is considering tighter unilateral restrictions on exports of high-bandwidth memory products, a step that would carry direct implications for the chipmaker’s international revenue. Competition from Chinese memory manufacturers has also been cited as a growing longer-term threat to Micron’s pricing power. <\/p>\n

SanDisk (NASDAQ:SNDK) shares slid sharply after a research firm cut its near-term outlook for the NAND flash market, pointing to average selling prices falling faster than previously expected. That shift reinforced concern that the memory industry’s supply-demand balance is tipping toward a surplus as capacity expansions across the sector outpace demand from enterprise and consumer electronics customers. <\/p>\n

Advanced Micro Devices Inc (NASDAQ:AMD, XETRA:AMD)<\/a> shares also fell, caught up in the broader retreat across semiconductor and memory names. The stock has been especially sensitive to swings in sentiment after more than doubling year-to-date on optimism around its EPYC server processors and Instinct AI accelerators, leaving it vulnerable to profit-taking once the mood in AI hardware shifted. <\/p>\n

The declines mark the latest bout of volatility in a sector that has posted extraordinary gains through 2026 on the back of surging AI infrastructure spending. Traders and analysts described Wednesday’s moves largely as a valuation reset rather than a sign of a broader breakdown in AI demand, though the Meta capacity report and renewed scrutiny of hardware margins have added a fresh layer of uncertainty heading into the next round of quarterly earnings. <\/p>\n","protected":false},"excerpt":{"rendered":"A broad selloff hit AI-linked hardware and chip stocks on Wednesday as investors locked in gains from a…\n","protected":false},"author":2,"featured_media":805316,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[62,74713,46530,276,277,49,48,48885,8598,52908,263973,183382,6300,61],"class_list":["post-805315","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-ai-hardware","tag-ai-training","tag-artificial-intelligence","tag-artificialintelligence","tag-ca","tag-canada","tag-data-center-infrastructure","tag-dell","tag-dell-technologies-inc","tag-enterprise-customers","tag-gross-margins","tag-micron","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/805315","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=805315"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/805315\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/805316"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=805315"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=805315"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=805315"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}