SanDisk Shares Drop 1.4% as DRAM ETF Falls 1.5% on Strike Avert
SanDisk shares fell 1.4% in premarket trading after Samsung reached a tentative pay agreement with its workers, avoiding a strike that had propelled memory stocks higher. The U.S. DRAM ETF slipped 1.5% as sector gains from Thursday’s rally were pared back.
1. Samsung Strike Deal and Sector Reversal
Samsung and its worker union reached a tentative agreement on pay and bonuses, averting a strike that was set to begin Thursday. News of the deal reversed a rally that had driven U.S. memory stocks higher, triggering a broad pullback in early trading.
2. SanDisk Premarket Decline
SanDisk shares declined 1.4% in Friday’s premarket session, giving back part of Thursday’s gains. The drop mirrored weakness in peer Micron, which was down 0.4%, while Seagate and Western Digital saw marginal upticks.
3. DRAM ETF Reaction
The Roundhill Memory ETF (DRAM) fell 1.5% after surging 5.5% on Thursday when news of the Samsung deal broke. Samsung’s shares in Seoul slid 2.3%, weighing on the ETF that holds Samsung as a top constituent.
4. Retail Sentiment and YTD Performance
Investor sentiment on social platforms turned bearish for major memory names including SanDisk, Micron, Western Digital and Seagate. Year to date, SanDisk leads with a 550% gain, followed by Micron up 167%, Western Digital up 183% and Seagate tripling.