2 Artificial Intelligence (AI) Stocks to Sell Before They Fall 40% and 55%, According to Wall Street Analysts

2 Artificial Intelligence (AI) Stocks to Sell Before They Fall 40% and 55%, According to Wall Street Analysts

https://www.nasdaq.com/articles/2-artificial-intelligence-ai-stocks-sell-they-fall-40-and-55-according-wall-street

Publish Date: 2026-03-08 04:32:00

Source Domain: www.nasdaq.com

• Palantir Technologies and Micron Technology have significantly appreciated in the stock market, nearly doubling and quadrupling respectively over the past year.
• Palantir’s strong fundamentals, unique software architecture, and impressive financial growth suggest a competitive edge; however, the stock is highly overvalued compared to forward earnings.
• Micron has benefitted greatly from a memory chip supply shortage, resulting in substantial revenue and earnings increases. However, once the industry peak passes, growth is expected to sharply decline.
• Wall Street analysts from Jefferies and Morningstar suggest a potential significant drop for both stocks: 55% downside on Palantir and 40% on Micron based on their target prices.
• Despite their strong performance, the current price of both stocks implies substantial risk that warrants cautious investment.