SanDisk Corp. (SNDK) shares plummeted 7.98% in Thursday's trading session, as the memory chip and storage sector faced significant pressure. The sharp decline comes amid a broader pullback in the storage industry, triggered by disappointing financial results from Japanese peer Kioxia Holdings.

The negative sentiment affecting SanDisk wasn't isolated, as other major players in the memory chip space also experienced notable declines. Western Digital saw its stock fall 4.9%, while Micron Technology dropped 2.9%. This sector-wide movement suggests that investors are reassessing their positions in memory chip manufacturers following Kioxia's dismal performance, which reported a 55% tumble in operating profit and a 16% decline in revenue for the six months ended September 30.

While the tech sector as a whole showed mixed performance, with companies like Cisco Systems seeing gains, the storage segment faced clear headwinds. Analysts suggest that concerns over demand and pricing pressures in the memory chip market are likely contributing to the selloff. As SanDisk and its peers navigate these challenging market conditions, investors will be closely watching for any signs of stabilization or improvement in the sector's fundamentals.