By Dean Seal
Shares of memory and data storage companies are getting caught up in the tech stock slump that has followed Samsung's latest quarterly update.
Micron shares are down 5% at $933 ahead of the opening bell. Shares of Sandisk and Seagate Technology are down about 6% and Western Digital's stock has dropped 7% in premarket trading.
The selloff kicked off after Samsung Electronics' strong report, which showed a 19-fold surge in profit and forecast more earnings growth later this year. Investors nonetheless started selling their Samsung shares, sparking declines among Samsung's suppliers, rival memory-chip makers and other tech sector stalwarts.
The downbeat reaction to Samsung's earnings are being viewed as a sign of tech stock fatigue following a strong run tied to the proliferation of artificial intelligence and heavy investment in AI-related infrastructure.
Write to Dean Seal at dean.seal@wsj.com