A number of U.S. tech stocks are down 20–68% from their peaks
1. AppLovin, $APP: -68%
2. Coinbase, $COIN: -62%
3. CoreWeave, $CRWV: -60%
4. Arm Holdings, $ARM: -55%
5. Western Digital, $WDC: -54%
6. Intel, $INTC: -54%
7. Oracle, $ORCL: -51%
8. SanDisk, $SNDK: -49%
9. Circle, $CRCL: -48%
10. ServiceNow, $NOW: -44%
11. Robinhood, $HOOD: -44%
12. Seagate, $STX: -42%
13. Marvell Technology, $MRVL: -39%
14. Super Micro Computer, $SMCI: -39%
15. Broadcom, $AVGO: -34%
16. Alphabet, $GOOGL: -31%
17. Adobe, $ADBE: -29%
18. Micron, $MU: -29%
19. IBM, $IBM: -23%
20. Meta, $META: -21%
21. Amazon, $AMZN: -21%
The common pressure is heavy spending on AI, with no clear timeline for recouping the investment. Many companies have to borrow or issue more shares to keep investing, raising concerns among investors about debt burdens and ownership dilution.
Google's ad revenue came in below expectations, while Amazon fell short of expectations for both revenue and profit; both have negative free cash flow because of large AI investments. Meta is also raising additional capital by issuing shares to expand its AI infrastructure.
Persistent inflation also makes it difficult for the Fed to cut interest rates, and rates could even rise further. Borrowing costs therefore continue to weigh on the AI race, putting additional pressure on tech stocks.
1. AppLovin, $APP: -68%
2. Coinbase, $COIN: -62%
3. CoreWeave, $CRWV: -60%
4. Arm Holdings, $ARM: -55%
5. Western Digital, $WDC: -54%
6. Intel, $INTC: -54%
7. Oracle, $ORCL: -51%
8. SanDisk, $SNDK: -49%
9. Circle, $CRCL: -48%
10. ServiceNow, $NOW: -44%
11. Robinhood, $HOOD: -44%
12. Seagate, $STX: -42%
13. Marvell Technology, $MRVL: -39%
14. Super Micro Computer, $SMCI: -39%
15. Broadcom, $AVGO: -34%
16. Alphabet, $GOOGL: -31%
17. Adobe, $ADBE: -29%
18. Micron, $MU: -29%
19. IBM, $IBM: -23%
20. Meta, $META: -21%
21. Amazon, $AMZN: -21%
The common pressure is heavy spending on AI, with no clear timeline for recouping the investment. Many companies have to borrow or issue more shares to keep investing, raising concerns among investors about debt burdens and ownership dilution.
Google's ad revenue came in below expectations, while Amazon fell short of expectations for both revenue and profit; both have negative free cash flow because of large AI investments. Meta is also raising additional capital by issuing shares to expand its AI infrastructure.
Persistent inflation also makes it difficult for the Fed to cut interest rates, and rates could even rise further. Borrowing costs therefore continue to weigh on the AI race, putting additional pressure on tech stocks.
