2 Crashing AI Stocks That Aren't Worth Buying on the Dip
Three years after the launch of OpenAI's ChatGPT, the generative AI hype cycle is getting long in the tooth as investors grow impatient with the lack of value being created on the software side of the industry. Artificial intelligence (AI)-related tech companies like Palantir Technologies (NASDAQ: PLTR) and Tesla (NASDAQ: TSLA) are now struggling to justify their optimistic valuations. They also face the unraveling of political hype, which boosted their stocks after Trump's election victory in November. Let's discuss some reasons why these stocks aren't worth buying on the dip. Palantir's bull thesis is losing steam, with shares down 36% -- at the time of this writing -- from their all-time high of $125 reached in mid-February. The company's shares boomed after it integrated AI large language models (LLMs) into its data analytics platforms, while Trump's election victory generated additional hype. However, both catalysts are turning into disappointments.Continue reading
Three years after the launch of OpenAI's ChatGPT, the generative AI hype cycle is getting long in the tooth as investors grow impatient with the lack of value being created on the software side of the industry.
Artificial intelligence (AI)-related tech companies like Palantir Technologies (NASDAQ: PLTR) and Tesla (NASDAQ: TSLA) are now struggling to justify their optimistic valuations. They also face the unraveling of political hype, which boosted their stocks after Trump's election victory in November. Let's discuss some reasons why these stocks aren't worth buying on the dip.
Palantir's bull thesis is losing steam, with shares down 36% -- at the time of this writing -- from their all-time high of $125 reached in mid-February. The company's shares boomed after it integrated AI large language models (LLMs) into its data analytics platforms, while Trump's election victory generated additional hype. However, both catalysts are turning into disappointments.
