Why Sandisk Stock Dropped Again on Tuesday

Sandisk stock fell 3.5% on Tuesday amid renewed concerns about Chinese competitor CXMT's improved memory chip technology. CXMT, which went public in July with plans to challenge Western memory makers, is developing new 4F square stacked DRAM architecture and aims to produce high-bandwidth memory (HBM) later this year. However, analysts note CXMT remains 2-3 generations behind in DRAM technology and doesn't produce NAND chips, Sandisk's specialty, suggesting the threat may be overstated.