Samsung Misses Revenue, AI Chip Stocks Slide
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- Samsung Electronics reported record second-quarter profit but missed revenue estimates, sending shares down nearly 7% and extending a broader selloff across AI-linked chipmakers on concerns hyperscalers could slow AI infrastructure spending.
- SK Hynix is down 25% from its all-time high ahead of its U.S. listing this week, with the deal drawing investor capital away from existing chip stocks.
- Micron Technology and Sandisk came under heavy pressure on Tuesday despite a spectacular 2026 rally in which Sandisk rose over 525%, Micron gained over 120%, and SK Hynix climbed roughly 225%.
- China's Zhipu AI is pursuing a custom AI chip as demand for its open-source GLM models surges, highlighting the rise of lower-cost AI ecosystems built around domestic hardware rather than cutting-edge US chips.
- The selloff comes just weeks after SpaceX's blockbuster IPO and amid elevated valuations across AI-related stocks, as investors weigh whether more efficient models will reduce demand for GPUs and high-bandwidth memory.
- Bitcoin and the broader crypto market have suffered from the AI trade over the past year, and fading AI enthusiasm could see capital rotate back into digital assets.
Why it matters: Chip stocks that gained 120% to 525% in 2026 are now correcting after Samsung's record-profit-but-revenue-miss moment exposed doubts about sustained hyperscaler AI spending, while China's Zhipu shows a parallel path — cheaper, open-source models on domestic silicon — challenging the US GPU-and-HBM thesis that powered the rally.
