Sandisk, Nvidia and CoreWeave Plunge as Tech Selloff Extends Beyond AI

Sandisk joins the technology selloff

Sandisk was among the prominent technology stocks that plunged on November 5 as the market selloff spread beyond the artificial-intelligence sector. The Nasdaq fell 5.5%, while Nvidia, CoreWeave and SpaceX also reported sharp declines. Dow Jones futures fell overnight, S&P 500 futures were little changed, and Nasdaq futures later rose, according to the market coverage reviewed as of the knowledge snapshot.

The move came as investors assessed the October jobs report and reacted to a broad market decline following the election. The Nasdaq moved below its 200-day line, the S&P 500 fell from key resistance, and the Dow broke below important technical levels. The evidence in the reviewed reports does not establish that any particular company announcement caused the selloff.

Loss extended across chip and AI stocks

The decline was particularly sharp among chip and AI-related shares, including Sandisk, Nvidia and CoreWeave. SpaceX also fell. Stronger areas of the market declined as well, showing that the selling extended beyond AI-related companies rather than remaining confined to that group.

Sandisk’s reported decline reached 17.8%, taking the shares to $853.09 by 12:33 p.m. ET on Thursday. The report described the drop as a second day of heavy selling and noted that an eight-for-one stock split was due November 19.

Memory stocks trade at unusually low earnings multiples

Separate same-day analysis found that Sandisk was trading near 4.9 times estimated forward earnings during the semiconductor selloff. Micron was around 4.8 times, compared with roughly 18.5 times for the S&P 500.

That valuation gap did not by itself indicate that investors expected weak current earnings. The analysis said it reflected concern that exceptionally strong memory-sector profitability might not persist through 2027 as pricing, supply or infrastructure spending normalized.

Sandisk’s latest reported results showed fiscal first-quarter 2027 revenue of $11.03 billion, up 378% from a year earlier. GAAP gross margin rose to 85.0% from 29.8%, while data-center revenue increased to $4.80 billion from $269 million a year earlier and rose 61% sequentially. These figures represented reported results, while the forward earnings multiples were estimates.

Follow-up signals

A verifiable Sandisk milestone is the November 19 stock split. Separately, the October jobs report was a forthcoming market event during the selloff.