Most of the stocks that were caught up in last year’s hype around artificial intelligence have fallen this year, suggesting that investors are increasingly trying to separate the wheat from the chaff among companies claiming to be beneficiaries of the AI trend.
Massive share price rallies for high-profile groups such as Nvidia, the chip designer that this week became the world’s most valuable listed company, have spurred a growing debate about whether the US stock market is being driven by speculative hype.
But the recent declines for dozens of stocks that had benefited from the early enthusiasm suggest that investors are starting to look past optimistic commentary if the companies cannot back up their claims.
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