Intel, AMD, Micron shares sink as Broadcom results spark semiconductor sector sell-off

What happened: Semiconductor stocks, including Intel ( INTC ), AMD ( AMD ), Arm Holdings ( ARM ), and Marvell Technology ( MRVL ), fell more than 3% pre-market on Thursday as the broader chip sector came under pressure following a disappointing outlook from custom AI chip designer Broadcom ( AVGO ).

High-flying memory and storage names Micron ( MU ) and SanDisk ( SNDK ) also tumbled 6% and 4% respecitvely in premarket trading.

What's behind the move: A weaker-than-expected AI chip outlook from Broadcom, coupled with the company's decision to reiterate rather than raise its 2026 guidance, sent shares of the Palo Alto-based company plunging nearly 15%.

The selloff rippled across the semiconductor sector, with investors heading for the exits after a blistering rally that pushed many chip stocks to record highs.

What else you need to know: Semiconductors have led the broader stock market advance to all-time highs, with many names posting outsized gains in recent weeks.

Micron was among the sector's biggest winners last month, surpassing a market capitalization of $1 trillion for the first time.

Earlier this week, Marvell shares surged nearly 40% over two trading sessions after Nvidia CEO Jensen Huang described the AI accelerator designer as the "next trillion-dollar company."

Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at @ines_ferre .