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2 AI Stocks Wall Street Says to Sell Before They Drop 55%

Source: Motley Fool

2026-03-23 00:20:00 ET

Artificial intelligence (AI) stocks have been among the market's best performers in the past couple of years. However, that surge has also pushed the companies' valuations to extreme highs, increasing the risk of a correction in the coming months.

Image source: Getty Images.

Software stocks have already wiped out more than $1 trillion in market value earlier in 2026 amid concerns that AI could disrupt the industry. But, even after that sell-off, some AI stocks are trading at stretched valuations that appear disconnected from the fundamentals. Wall Street analysts now see further downside in these two stocks, with some price targets implying declines of more than 55%.

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