Kioxia Holdings' share price hit a six-month low. The spread of declines in AI and semiconductor stocks in the US market has spilled over into the Tokyo market, prolonging the decline in the company's share price.
Kioxia Holdings (285A) was trading at ¥12,375 as of the time stamp on the morning of 23 October, down ¥220 from the previous day and near a six-month low. After rising over the past several months, the share price has turned weaker again.
The company reached a record high of ¥37,566 on 6/22, but subsequently plunged, falling to around ¥12,006 on 30 July. The latest move is attributed to growing concerns in the US market about the earnings outlook for AI-related stocks and a sharp decline in the SOX Index.
Selling spread to AI- and semiconductor-related stocks in the Japanese market following the turmoil in the US market on 22 October, worsening supply-demand conditions for stocks including Kioxia. Market participants say the market is facing a confluence of trends in margin trading since April and factors contributing to the deterioration in supply-demand conditions.