SanDisk Leads Memory Rally as SOX Index Surges 2.78%
Quadruple witching drove volume as memory stocks outperformed, with SanDisk gaining nearly 11% and lifting the Philadelphia Semiconductor Index significantly.
The Philadelphia Semiconductor Index closed up 2.78% to 11,921.69 on Friday, driven by a sharp rally in memory sector equities. This performance stood out during a quadruple witching session, where simultaneous expirations of index and single-stock derivatives elevated trading volumes across U.S. markets. While the Dow Jones Industrial Average fell 0.18% to 51,682.64, the semiconductor gauge gained 322.20 points, marking the day's strongest sectoral move.
SanDisk (SNDK) was the primary driver, surging 10.99% to close at $1,791.82. The stock moved past the $1,700 threshold as investors reacted to favorable valuation metrics and demand signals. Other memory names followed suit: Micron (MU) rose 3.92% to $1,015.80, Western Digital (WDC) climbed 4.13% to $441.36, and SK Hynix ADR (SKHY) increased 2.46% to $187.50.
Memory demand drives sector leadership
Market participants attributed SanDisk’s jump to its inclusion in a list of attractively valued technology stocks, receiving an A+ valuation rating. This status, combined with a positive outlook for memory demand, triggered aggressive buying. The broader memory industry is seeing fundamental tailwinds, with price increases cited as a key factor in improving sector economics.
Intel CEO Lip-Bu Tan reinforced this view at an industry conference, stating that AI infrastructure expansion is not cooling and that memory chip demand remains strong. He noted that memory prices have risen to five to seven times their previous levels. Tan warned that memory could represent 70% to 80% of total costs in the coming year, highlighting the critical role of these components in AI hardware stacks.
Mega-cap tech stocks show divergence
Performance among large-cap technology stocks was mixed during the session. Nvidia (NVDA) closed at $222.27, up 1.34%, while Amazon (AMZN) gained 1% to reach $253.71. Alphabet (GOOGL) edged higher by 0.21% to $344.41. These gains contrasted with declines in other major names, reflecting a lack of uniform momentum across the broader tech sector.
Meta (META) fell 2.43% to $665.75, and Microsoft (MSFT) dropped 0.8% to $493.78. Tesla (TSLA) closed down 0.53% at $364.27, while Apple (AAPL) slipped 0.26% to $336.13. The S&P 500 index rose 0.17% to 7,650.50, and the Nasdaq Composite gained 0.39% to 26,522.55, indicating that tech strength was selective rather than broad-based.
Taiwan ADRs and futures remain firm
Taiwanese-listed American Depositary Receipts showed varied results, with TSMC ADR (TSM) closing at $434.67, up 1.02%. ASE Technology ADR (ASX) was the strongest performer in this group, rising 4.01% to $41.63. United Microelectronics ADR (UMC) gained 0.57% to $24.61, while Chunghwa Telecom ADR (CHT) edged up 0.39% to $45.90. Hon Hai ADR (HNHPE) was the outlier, falling 0.94% to $15.75.
Taiwan Index Futures in the night session closed at 47,405 points, down a modest 0.05% but holding above the 47,000 level. According to GN stocks/chips, the positive close in the Philadelphia Semiconductor Index and TSMC’s steady performance have set a constructive tone for market expectations heading into the next trading session.
