STX Heads For Worst Week In Nearly 5 Months: SNDK, WDC, MU Also In Focus As Memory Chip Rally Fizzles

• Key memory plays MU, STX, WDC and SNDK have declined from their record highs, with Stocktwits sentiment turning ‘bearish’ on the entire group.
• Earlier this week, a sharp overnight sell-off in South Korea's KOSPI index, heavily weighted toward Samsung and SK Hynix, sparked a wave of risk-off sentiment that also hit U.S. memory firms.
• WDC is the only memory chip stock still in over the last month.

Seagate Technology shares have tumbled about 10% this week and are headed for their worst weekly performance since mid-October, alongside declines in key memory-chip stocks that suggest the rally driven by component shortages may be fading.

This would mark the fourth straight week of decline for the STX stock, although it is still up about 33% year to date as of Thursday’s close.

A shortage in supply of memory chips and devices leading to overbookings and price hikes boosted shares of key producers, including Western Digital, Sandisk, and Micron, last year. SanDisk, for one, emerged as a particular favorite among retail investors after the stock gained more than 500% between February 2025 (when it started trading independently) and the end of the year.

However, those stocks are now retreating, with only Western Digital managing to stay in the green since the start of February.

Earlier this week, a sharp overnight sell-off in South Korea's KOSPI index, which is heavily weighted toward memory giants Samsung and SK Hynix, sparked a wave of risk-off sentiment that also hit U.S. memory firms. The selloff was reportedly triggered by the U.S.-Iran war, which has pushed energy prices sharply higher.

Memory Stocks Drop From Peak, Retail Mood Turns Bearish

Seagate shares are down 20% from their all time high on Feb. 3, while SanDisk shares are down 19% from their peak on the same day. Western Digital shares are down about 13% from their peak on Feb. 18 and Micron shares are down 10% from their peak on Jan. 29.

On Stocktwits, the retail sentiment was ‘bearish’ for MU, STX, WDC and SNDK.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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