A number of stocks fell in the afternoon session after investors grew increasingly concerned that the billions of dollars being invested into artificial intelligence may not generate sufficient profits.
A number of stocks fell in the afternoon session after investors grew increasingly concerned that the billions of dollars being invested into artificial intelligence may not generate sufficient profits.
A number of stocks fell in the afternoon session after investors grew increasingly concerned that the billions of dollars being invested into artificial intelligence may not generate sufficient profits.
A number of stocks fell in the afternoon session after investors grew increasingly concerned that the billions of dollars being invested into artificial intelligence may not generate sufficient profits. This sentiment fueled fears of a potential "AI bubble," leading to a significant downturn in the technology-heavy Nasdaq Composite index. The selloff was intensified after chipmaker Broadcom warned that increased sales of AI systems could lead to thinner profit margins, causing its stock to tumble. Subsequently, the broader market questioned whether the massive spending on chips and data centers would produce a worthwhile return on investment. This uncertainty caused a market recalibration, with investors rotating capital out of more speculative tech stocks and into more stable assets.
A number of stocks fell in the afternoon session after investors grew increasingly concerned that the billions of dollars being invested into artificial intelligence may not generate sufficient profits.
Shares of 3D printing company 3D Systems (NYSE:DDD) jumped 3.9% in the afternoon session after the company announced it received U.S. Food and Drug Administration (FDA) 510(k) clearance to expand its VSP Orthopedics platform to include skeletally mature adolescents.
Shares of real estate technology company Compass (NYSE:COMP) fell 4% in the afternoon session after reports surfaced that Google tested a feature to show home sales listings directly in its search results, sparking fears of new competition.
Shares of premium cinema technology company IMAX (NYSE:IMAX) jumped 3.1% in the afternoon session after JP Morgan upgraded the stock to 'Overweight' from 'Neutral' and raised its price target.
Shares of semiconductor equipment maker Lam Research (NASDAQ:LRCX)
jumped 3.2% in the afternoon session after an analyst at Jefferies maintained the company's "Buy" rating and raised its price target. The analyst, Blayne Curtis, increased the price target for the semiconductor equipment maker to $200 from $175, a lift of over 14%. This action, combined with the reaffirmed positive rating, reflected growing confidence in Lam Research's market performance and future growth prospects within the semiconductor industry.
Shares of business software provider Freshworks (NASDAQ:FRSH) fell 3.6% in the afternoon session after the company announced it agreed to acquire FireHydrant, a provider of AI-powered incident management software.
Shares of semiconductor quality control company Nova (NASDAQ:NVMI) jumped 3.3% in the afternoon session after Jefferies raised its price target on the stock and Morgan Stanley initiated coverage, reinforcing investor confidence.
Shares of fintech mortgage provider Rocket Companies (NYSE:RKT) fell 3.7% in the afternoon session after Google's trial of a home sales listings feature in its search results sparked fears of new competition.
Shares of semiconductor manufacturing equipment maker KLA Corporation (NASDAQ:KLAC)
jumped 3.9% in the afternoon session after Jefferies upgraded the semiconductor company's stock to Buy from Hold and raised its price target.
Shares of biopharmaceutical company Bristol Myers Squibb (NYSE:BMY)
jumped 3.7% in the afternoon session after BofA Securities upgraded the company's stock from "Neutral" to "Buy" and increased its price target.
Shares of semiconductor materials supplier Entegris (NASDAQ:ENTG) fell 3% in the afternoon session after Goldman Sachs downgraded the stock to "Sell" from "Neutral," citing concerns over the company's fundamentals and profitability.
Shares of telecommunications and media company Comcast (NASDAQ:CMCSA)
jumped 3.7% in the afternoon session after the company announced the completion of its network expansion to nearly 22,000 new homes and businesses in Litchfield County, Connecticut. The project brought Comcast's high-speed internet and its full range of Xfinity and Comcast Business services to five communities: Litchfield, Morris, Thomaston, Torrington, and Watertown. This development provided residents and businesses in those areas access to what the company described as a more reliable and converged network.
Shares of bitcoin development company Strategy (NASDAQ:MSTR) fell 6.5% in the afternoon session after investor concerns mounted over its strategy of funding large Bitcoin purchases through share sales.
Shares of building materials company Builders FirstSource (NYSE:BLDR) fell 3.8% in the afternoon session after Jefferies downgraded the stock to 'Hold' from 'Buy' and lowered its price target. The analyst firm significantly reduced its price target on the shares to $110 from $138. The downgrade reflected a more cautious view of the stock's future performance.
Shares of IT solutions integrator Insight Enterprises (NASDAQ:NSIT) fell 4.5% in the afternoon session after JPMorgan downgraded the stock to 'Underweight' from 'Neutral' and significantly lowered its price target. The bank cut its price view on the shares to $90 from $117. The downgrade stemmed from concerns over a weaker outlook for business spending and potential issues in the PC market. This move followed the company's recent third-quarter earnings report, where both revenue and profit fell short of market forecasts.
Shares of real estate investment trust Arbor Realty Trust (NYSE:ABR) fell 4.5% in the afternoon session after an analyst at Keefe, Bruyette & Woods downgraded the stock to "Underperform" from "Market Perform" and lowered the price target.
