Chip Selloff Deepens: Micron, AMD, Intel, Sandisk Crack Up To 10%; Nasdaq Heads For Weekly Loss

Wall Street's semiconductor and chip majors like Micron Technology Inc., Advanced Micro Devices Inc., Intel Corp., and Nvidia Corp. sank on Friday amid a highly volatile environment for AI-linked companies. 

Micron whiplashed after closing with gains in the previous session to plunge as low as 7% to $919.54, AMD extended losses to trade 3% lower at $518.15, and Intel shares slumped 4% to $95.60 after surging 11% during pre-market trading. 

The fall for Intel comes despite its better-than-expected second quarter earnings that were released on Thursday post market hours. 

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Earnings per share came in at 42 cents, adjusted, as against Wall Street expectations of  21 cents. Revenue rose to $16.1 billion, versus $14.42 billion expected. 

Q3 commentary was bullish, with the chipmaker saying it expects adjusted earnings per share of 38 cents as against analysts' estimates of 27 cents. Revenue range will be between $15.8 billion and $16.8 billion, analysts were expecting revenue of $15.1 billion, as per LSEG data. 

The see-saw in semis and chip stocks has weighed on the tech-heavy nasdaq index, which is heading for a weekly loss after declining 2%. 

Nvidia Corp. also fell 1% to $205.67, along with qualcomm which traded 2.6% lower at $166.89. Shares of Sandisk plummeted nearly 10% to $1,453.60. 

Wall Street indices traded on a mixed note in trade on Friday as investors attempted to steady their nerves after the previous session's sharp technology-led selloff, while geopolitical tensions and inflation concerns remained firmly in focus.

As of 11 a.m., Dow Jones Industiral Average traded 0.3% higher at 51,859.81, S&P 500 was up 0.28% to 7,429.62, whereas Nasdaq traded 0.3% lower at 25,072.02.