Lam Research is trading 12.8% down at $4.96 as part of a sharp semiconductor pullback driven by profit-taking after an extended AI rally and mounting worries about heavy AI infrastructure spending.

  • Investors are reacting to increased competitive pressure from Chinese chipmakers and a broader global selloff in chip and AI-related stocks.
  • Sector-wide pressure is mounting as the SOXX ETF fell more than 4%, weighing on Lam Research alongside its industry peers.