The benefits of AI and growing uncertainty are triggering a sharp sell-off in tech stocks. A sharp market decline is starting to present an opportunity for disciplined investors. Discover a list of stocks that have fallen sharply recently and could experience an explosive rebound.
Technology stocks fell sharply for a second consecutive day on Wednesday. The stock fell 1.51% after having already fallen 1.43% the day before. Since last week’s high, the index is down more than 4.5%.
Several major technology stocks recorded sharp losses. Advanced Micro Devices (NASDAQ:) slipped 17.31% after the release of its . Palantir Technologies (NASDAQ:) fell almost 12%, while Micron Technology (NASDAQ:) fell almost 10%. NVIDIA (NASDAQ:), the world’s largest company by stock market value, fell 3.41%.
Earlier in the week, selling pressure was seen primarily in software stocks due to concerns over AI disruption. This weakness now appears to extend across the entire technology sector.
The scale and cost of building AI infrastructure is unprecedented. At the same time, consumers and businesses are adopting AI tools at a very rapid pace. This combination has made it harder for investors to judge the true value of tech stocks and what future earnings might look like.
The decline in certain technology stocks is also linked to the weakness of Bitcoin, which fell back to around $72,000 on Thursday morning. This decline hit crypto mining stocks particularly hard, as well as Coinbase (NASDAQ:) and other companies that hold their balance sheets.
Broader economic and political risks also weigh on markets. The European Union has shown no urgency to cut interest rates again. Investors are also watching the risk of U.S. involvement in Iran and rising tensions between the United States and Europe, driven in part by President Donald Trump and his stated interest in exerting control over Greenland.
Steep declines can open doors to opportunities
Rapid declines like those seen in tech stocks in recent days can also create opportunities. Some stocks are worth selling off as their prices return to more reasonable levels. Others fall…
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