KIOXIA'S MARKET VALUE HALVES AFTER AI RALLY PEAK

Kioxia's dramatic market slide reflects broader volatility in chip stocks following an extended rally powered by artificial intelligence demand. The company, which briefly held the title of Japan's most valuable company, lost half its peak value as sentiment shifted toward caution. The selloff signals growing skepticism about whether current valuations in the semiconductor industry are justified by fundamentals. Memory chipmakers have been among the biggest beneficiaries of the AI boom, but the sharp reversal suggests investors are reassessing risk amid concerns the sector's growth may have been priced in too aggressively. Kioxia, a major player in NAND flash memory production, faces the same headwinds affecting other chipmakers as the market recalibrates expectations. The company's experience highlights the volatility and sensitivity of semiconductor stocks to shifts in investor sentiment.