Micron Falls 5%, SanDisk Sinks 6%, Western Digital Drops 7% as Higher Rates Test the Memory Boom

Micron Technology, SanDisk, and Western Digital saw their stocks decline by 5-7% on Tuesday as higher Treasury yields impact their valuations, despite impressive year-to-date gains. Seagate Technology and the Roundhill Memory ETF also fell by 6%. Analysts note that the declines are driven by a macro rate reset rather than company-specific news.

Micron, SanDisk, and Western Digital led gains for the semiconductor sector in 2026, but today they are leading the drawdown. The valuation reset is due to higher discount rates applied to future earnings and increased financing costs for the memory companies' capacity expansion. The bull case for these stocks remains intact on fundamentals, but investors should be cautious due to the high expectations embedded in their recent gains.