Three Premier AI Stocks Predicted to Plummet by up to 86% in 2025 According to Top Wall Street Analysts
The Rise and Fall of Artificial Intelligence: A Closer Look at 3 AI Stocks
In October, the financial world celebrated its second year (and counting) in a resounding bull market. While various factors contributed to the surge of the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite to multiple record-closing highs last year, none played a more significant role than the emergence of artificial intelligence (AI). This technology has far-reaching applications across virtually all industries worldwide.
The Power of Artificial Intelligence
Artificial intelligence is transforming the way businesses operate. From chatbots to voice assistants, AI is increasingly being used to automate tasks, enhance customer experiences, and drive innovation. However, with this growth comes uncertainty. As investors, it’s essential to understand the potential risks associated with investing in AI stocks.
3 Premier Artificial Intelligence Stocks That Can Plunge by Up to 86%
According to select Wall Street analysts, three premier AI stocks may be poised for significant declines:
- SoundHound AI (SOUN)
Ladenburg Thalmann analyst Glenn Mattson forecasts shares of SoundHound AI to decline from north of $20 to just $7 in 2025, representing a drop of 66%. Similar to Palantir, SoundHound’s stock has gone parabolic in recent months due to its position in the next stage of AI’s evolution. The company envisions a world where AI voice integration and intuitive commands can unify voice ecosystems. - Palantir Technologies (PLTR)
Ladenburg Thalmann analyst Glenn Mattson foresees shares of Palantir Technologies retracing from around $20 to just $6 in 2025, representing an 86% decline. Similar to SoundHound, Palantir’s stock has gone parabolic due to its position as a leader in AI innovation. The company’s valuation is concerning, with a price-to-sales (P/S) ratio of nearly 73. - SoundHound AI (SOUN)
Ladenburg Thalmann analyst Glenn Mattson forecasts shares of SoundHound AI to decline from north of $20 to just $7 in 2025, representing a drop of 66%. Similar to Palantir, SoundHound’s stock has gone parabolic in recent months due to its position in the next stage of AI’s evolution. The company envisions a world where AI voice integration and intuitive commands can unify voice ecosystems.
Why These Stocks May Be Poised for a Decline
These three AI stocks may be experiencing a significant correction due to various factors:
- Overvaluation: All three companies have seen their share prices surge significantly, leading to concerns about overvaluation.
- Lack of profitability: SoundHound AI is not profitable and is burning through cash as it expands into new verticals.
- Uncertainty surrounding AI adoption: While AI has tremendous potential, its adoption rate may be slower than expected, leading to a correction in the market.
Conclusion
The rise of artificial intelligence has been nothing short of remarkable. However, with this growth comes uncertainty. As investors, it’s essential to understand the potential risks associated with investing in AI stocks. These three premier AI stocks may be poised for significant declines due to concerns about overvaluation, lack of profitability, and uncertainty surrounding AI adoption.
A Second Chance at a Lucrative Opportunity
Investors who have missed out on previous opportunities may be wondering if they’ve already missed their chance to invest. Fortunately, there are still opportunities available:
- Nvidia (NVDA): If you invested $1,000 when we doubled down in 2009, you’d have $374,613.
- Apple (AAPL): If you invested $1,000 when we doubled down in 2008, you’d have $46,088.
- Netflix (NFLX): If you invested $1,000 when we doubled down in 2004, you’d have $475,143.
Don’t miss this second chance at a potentially lucrative opportunity. Our expert team of analysts is issuing ‘Double Down’ stock recommendations for companies that they think are about to pop.
