The Tradr 2X Long SNDK Daily ETF (SNXX) plummeted 8.84% during intraday trading on Thursday, reflecting a sharp sell-off in the leveraged fund that tracks SanDisk Corp.

The decline is driven by a critical analyst report on SanDisk, which highlighted significant concerns about the company's business model and valuation. The report points to flaws in SanDisk's long-term contracts with hyperscale cloud providers, noting that the floating pricing mechanism may not protect the company from future price declines as new memory capacity enters the market. Additionally, the analyst's discounted cash flow model suggests SanDisk's stock has approximately 70% downside from current levels, leading to a "Sell" rating.

As a leveraged ETF, SNXX is highly sensitive to such negative fundamental analysis of its underlying asset, which has prompted sustained selling pressure during the trading session.