Why Sandisk Stock Just Dropped

Sandisk (NASDAQ: SNDK) stock tumbled 4% through 12:15 p.m. ET Monday, despite closing out last week on a strong note of support. After the close of trading on Friday, investment bank Jefferies more than doubled its price target for the maker of flash computer memory to $3,000 per share and urged investors to buy.

By Monday morning, investors had already forgotten all about that.

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Why is that? Perhaps it's because of the headlines that came out between Jefferies' price target hike Friday, and the start of trading Monday: Namely, reports that Apple (NASDAQ: AAPL) is petitioning the U.S. government for permission to skip purchases of overpriced Micron (NASDAQ: MU) and Sandisk memory chips, and buy from Chinese supplier CXMT instead.

This may not seem like an immediate threat to Sandisk. CXMT is primarily a supplier of DRAM -- not NAND flash. Still, if Apple's move becomes a trend -- and it certainly could, as user

Fuente original: Yahoo Finance (https://finance.yahoo.com/markets/stocks/articles/why-sandisk-stock-just-dropped-164800507.html)