Shares of global memory chipmakers and data storage providers dropped sharply on Thursday after Samsung Electronics’ preliminary third-quarter financial results missed analyst estimates. The shortfall cooled one of the year’s hottest investment rallies tied to the boom in artificial intelligence.

Samsung, the world’s largest memory chipmaker, reported expected quarterly sales of approximately 195 trillion Korean won ($145.06 billion) and an operating profit of roughly 107.4 trillion won ($79.89 billion). Analysts surveyed by Visible Alpha had been expecting sales of 205.26 trillion won and an operating profit of 112.73 trillion won.

Following the announcement, shares of Sandisk, SK Hynix, and Seagate Technology each fell by roughly 3%, Micron slipped 2%, and the sector-focused Roundhill Memory ETF (DRAM) slid 3%. Samsung’s own shares dropped 2.4% on its home exchange in South Korea.

Although AI demand previously drove chipmakers’ performance to record highs, experts warn that elevated investor expectations make further market surprises increasingly difficult. As Coin Bureau analyst Nic Puckrin noted, while companies deliver strong overall numbers, the market is growing concerned over slowing quarter-over-quarter profit growth and potential price pressure as chipmakers expand supply over the next few years. Samsung is scheduled to release its full earnings report on October 29.