2 Seemingly Unstoppable Artificial Intelligence (AI) Stocks That Can Plunge Up to 96% in 2026, According to Select Wall Street Analysts

1 month ago 14

Sean Williams, The Motley Fool

Mon, December 8, 2025 astatine 3:11 AM CST 7 min read

Artificial quality (AI) represents a leap guardant for firm America that's connected par with what the proliferation of the net did for businesses.
A unsocial AI-data mining specialist, which has rallied astir 2,700% since the opening of 2023, is expected to plummet 72% successful the caller year.
Meanwhile, a North American concern goliath that's embraced AI successful its merchandise enactment could spot 96% of its worth wiped distant if the prognostication of 1 expert proves accurate.
10 stocks we similar amended than Palantir Technologies ›

Over the past 3 years, nary inclination has captivated the attraction and superior of investors rather similar the improvement of artificial quality (AI). Empowering bundle and systems with the capabilities to marque split-second decisions and to perchance larn caller tasks is simply a crippled changer for astir industries. It's wherefore analysts judge this exertion tin marque waves comparable to what the proliferation of the net did for businesses worldwide.

This optimism is wide reflected successful the ratings and terms targets issued by Wall Street analysts and their firms. However, bullishness isn't cosmopolitan erstwhile discussing the banal market's astir salient and wide owned AI stocks.

According to prime Wall Street analysts, 2 of the hottest and seemingly unstoppable AI stocks tin plunge by up to 96% successful 2026.

A idiosyncratic circling and drafting an arrow to the bottommost of a steep diminution successful a banal chart.

The archetypal top-performing AI banal that could beryllium clobbered successful the caller year, based connected the projections of 1 Wall Street analyst, is information mining specializer Palantir Technologies (NASDAQ: PLTR).

Shares of Palantir person soared by adjacent to 2,700% since the opening of 2023, which makes it 1 of Wall Street's highest-flying AI stocks. This supercharged instrumentality has been fueled by its sustainable moat. Neither of the company's 2 halfway AI- and instrumentality learning-driven operating platforms, Gotham and Foundry, has competitors (at scale) that tin siphon distant its customers.

Gotham has been Palantir's breadstuff and food for years. This conception supports the U.S. national authorities and its allies successful readying and overseeing subject missions. Palantir often secures multiyear contracts with the U.S. government, starring to highly predictable profits and operating currency flow.

In spite of this sustainable moat, RBC Capital expert and longtime Palantir carnivore Rishi Jaluria believes shares of the institution tin plummet to $50 successful 2026. Based connected its closing terms of astir $178 per stock connected Dec. 4, this would connote downside imaginable of up to 72% successful the caller year. For what it's worth, Jaluria has raised his terms people for Palantir connected respective occasions successful 2025.