Micron Shares of the company plunged 16% on Thursday after the chipmaker issued disappointing second-quarter guidance in an earnings report, its worst day since March 2020 and the start of the coronavirus pandemic.

The stock fell to $86.78 in early afternoon, down about 45% from its all-time high in June.

Micron said it expects second-quarter revenue of $7.9 billion, plus or minus $200 million, and adjusted earnings per share of $1.43, plus or minus 10 cents. Analysts expected revenue of $8.98 billion and earnings of $1.91 per share, according to LSEG.

On an earnings call, Chief Executive Sanjay Mehrotra said the company, which provides computer memory and storage, has seen slowing growth in some of its consumer devices and is experiencing an “inventory correction.”

“Micron expects PC refresh cycles to be further delayed and noted increased smartphone inventory for some customers,” analysts at Stifel wrote in a note to clients. The firm maintained a buy rating on the stock but raised its price target from $135 Down to $130.

Micron reported better-than-expected first-quarter earnings, with earnings per share of $1.79, higher than analysts’ average estimate of $1.75. Revenue increased 84% from the same period last year to $8.71 billion, in line with expectations. This growth was driven by a 400% increase in data center revenue, driven primarily by demand for artificial intelligence, Micron says.

“We continue to gain share in the highest-margin and strategically important market segments and are well-positioned to leverage AI-driven growth to create significant value for all stakeholders,” the company wrote in the report. “

watch: Micron shares plummet