Micron Technology (MU) shares plummeted 7.10% in intraday trading on Thursday, caught in a broad selloff across the memory and storage sector after disappointing forward guidance from industry peers Sandisk and Western Digital.

The rout was sparked by Sandisk's fiscal fourth-quarter report, which despite beating expectations on both revenue and earnings, issued revenue guidance for the upcoming quarter that fell short of Wall Street's consensus estimate. Western Digital also failed to impress investors, with its quarterly forecast merely in line with expectations rather than delivering the upside surprise the market had priced in. Sandisk shares dropped over 8% in pre-market, while Western Digital tumbled more than 14%, dragging down the entire memory complex.

Although Micron generates only a portion of its revenue from flash memory, the stock has historically traded in tandem with other memory and storage names as momentum-driven plays tied to AI infrastructure demand. The guidance misses reignited concerns about how long the AI spending boom can sustain elevated valuations across the semiconductor supply chain, prompting traders to rotate out of the sector.