With Chips / semis (SOXX) down 3.4%, this looks like a sector-led move rather than a company-specific surprise.
Semiconductor stocks are trading lower after Democratic victories in the U.S. midterm elections have raised investor concerns about the future of data-center construction. Pledges by winning candidates to take a tougher stance on permitting and regulations for new data centers are creating uncertainty around a key demand driver for the artificial intelligence (AI) buildout. This news adds to existing investor nervousness regarding high valuations and the significant capital investment required for AI infrastructure.