# Massive AI sell off **URL:** \ **Category:** Macro Economic Trends and Risks\ **Created:** [October 30, 2026, 12:24pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006 "2026-10-30T12:24:12Z")\ **Posts on this page:** 20\ **Page:** 1
**Author:** ![Divitias](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/divitias/32/9302_2.png) [@Divitias](https://discussion.fool.com/u/Divitias)\ **Post date:** [October 30, 2026, 12:24pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/1 "2026-10-30T12:24:12Z")
Multi billions are being written off: > **[Wall Street sell-off continues as investors question returns on massive AI...](https://edition.cnn.com/2026/10/30/investing/us-stocks-ai-investment)** > > Wall Street braced for another steep day of losses Friday, with futures falling after the latest earnings from Big Tech reignited concerns that the massive spending on AI may not deliver the returns that investors expect. > **['Tech carnage' as AI share price slump sparks fears of market crash](https://www.thisismoney.co.uk/money/markets/article-16252159/Halloween-carnage-Wall-Street-AI-share-price-slump-sparks-fears-stock-market-crash.html)** > > A Halloween slump in technology stocks has sparked fears of a market crash that would hammer the savings and pensions of millions of British families. ---
**Author:** ![FOOLME45](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/foolme45/32/2642_2.png) [@FOOLME45](https://discussion.fool.com/u/FOOLME45)\ **Post date:** [October 30, 2026, 12:36pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/2 "2026-10-30T12:36:54Z")
> [@Divitias](#): > > Multi billions are being written off: Is this potentially a buying opportunity? ---
**Author:** ![WendyBG](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/wendybg/32/67464_2.png) [@WendyBG](https://discussion.fool.com/u/WendyBG)\ **Post date:** [October 30, 2026, 12:49pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/3 "2026-10-30T12:49:51Z")
> [@FOOLME45](#): > > Is this potentially a buying opportunity? Potentially yes. But based on 2001, the pullback is a typical new-technology crash which has happened at least 5 times since the beginning of the Industrial Revolution and may have much further to go. Wendy ---
**Author:** ![FOOLME45](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/foolme45/32/2642_2.png) [@FOOLME45](https://discussion.fool.com/u/FOOLME45)\ **Post date:** [October 30, 2026, 12:56pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/4 "2026-10-30T12:56:58Z")
> [@WendyBG](#): > > Potentially yes. But based on 2001, the pullback is a typical new-technology crash which has happened at least 5 times since the beginning of the Industrial Revolution and may have much further to go. Markets go down, they go down a lot. I have no idea where the bottom is and the best I can do is have ready a list of businesses that I would like to own or buy more of and at prices that make sense and where there is some margin of error. The best investors do the average thing when these moments of panic start to unfold, at least that’s what I try to remind myself. ---
**Author:** ![Goofyhoofy](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/goofyhoofy/32/4721_2.png) [@Goofyhoofy](https://discussion.fool.com/u/Goofyhoofy)\ **Post date:** [October 30, 2026, 1:37pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/5 "2026-10-30T13:37:01Z")
> [@FOOLME45](#): > > Markets go down, they go down a lot. I have no idea where the bottom is and the best I can do is have ready a list of businesses that I would like to own or buy more of and at prices that make sense and where there is some margin of error. In the dot com bust, the Nasdaq was off 76%, today it’s off about 5% from its peak. There were certainly bargains back in 2000, Amazon dropped 77%. On the other hand Cisco dropped 90%, and didn’t recover for over 25 years. There’s a long way down yet, and it’s hard to tell who the survivors will be (assuming this will all turn out to be a revolutionizing thing rather than a passing fad - like blockchain, or the Metaverse, or NFTs, or wearable tech, or crypto replacing currency, or … ) ---
**Author:** ![FOOLME45](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/foolme45/32/2642_2.png) [@FOOLME45](https://discussion.fool.com/u/FOOLME45)\ **Post date:** [October 30, 2026, 2:16pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/6 "2026-10-30T14:16:32Z")
> [@Goofyhoofy](#): > > There’s a long way down yet, and it’s hard to tell who the survivors will be (assuming this will all turn out to be a revolutionizing thing rather than a passing fad - like blockchain, or the Metaverse, or NFTs, or wearable tech, or crypto replacing currency, or … ) It’s why I try to stay far away from businesses I don’t understand, can’t identify their moats, or ascertain their value. It’s been a hard learned lesson. But in the end, I’m not looking to guess at where the overall market will go. I don’t think most people get it right, either when to sell or when to get back in. For those that have that skill set, great, it’s just not a game I know how to play or serves my mindset. That said, it never feels great when those moments happen and the market always seems to come down at a faster pace than it rises. ---
**Author:** ![Leap1](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/leap1/32/72176_2.png) [@Leap1](https://discussion.fool.com/u/Leap1)\ **Post date:** [October 30, 2026, 4:16pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/7 "2026-10-30T16:16:05Z")
> [@FOOLME45](#): > > Is this potentially a buying opportunity? Don’t ask me. I know a lot more than you. So you won’t listen. > [@FOOLME45](#): > > It’s why I try to stay far away from businesses I don’t understand, I can respect that, and never talk business again with you. There is an old saying in CT that I started, “You can’t lose if you don’t play”. You are a gambler to begin with. ---
**Author:** ![pauleckler](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/pauleckler/32/2906_2.png) [@pauleckler](https://discussion.fool.com/u/pauleckler)\ **Post date:** [October 30, 2026, 4:39pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/8 "2026-10-30T16:39:09Z")
The most disturbing info is that Google missed their ad targets implying that AI is stealing from search. Could also be slowing economy and the bottom leg of the K spending less. Most think the core companies are likely to succeed in AI. Most have profits and reasonable PEs. The others are at risk. Buyers must be selective. ---
**Author:** ![btresist](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/btresist/32/1678_2.png) [@btresist](https://discussion.fool.com/u/btresist)\ **Post date:** [October 30, 2026, 4:57pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/9 "2026-10-30T16:57:28Z")
> [@Goofyhoofy](#): > > In the dot com bust, the Nasdaq was off 76%, today it’s off about 5% from its peak. Intel is interesting, having dropped almost 30% by midday. Can America afford to let one of its major chipmakers disappear? > [@FOOLME45](#): > > That said, it never feels great when those moments happen and the market always seems to come down at a faster pace than it rises. There are those three magic words…Dollar cost averaging. I am tempted to buy a small amount of Intel once a month for the next 6 months and see what happens. What could possibly go wrong? > [@FOOLME45](#): > > It’s why I try to stay far away from businesses I don’t understand, can’t identify their moats, or ascertain their value. Wise words. On the other hand, it seems increasingly clear to me that one of the big winners in this AI race is going to be Apple. The Mac Studio desktop can already run the DeepSeek V3 LLM model at 20token/sec without any cloud connection. The needed configuration costs about $10k, but that number will undoubted go down as Apple improves its chips. Seriously, why deal with cloud connections and security concerns when you can have your own locally run AI. And Apple doesn’t need to build data centers to win this race. Everyone else is burning money to develop the AI while is Apple is preparing the product that will be sold to the masses. ---
**Author:** ![bjurasz](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/bjurasz/32/7233_2.png) [@bjurasz](https://discussion.fool.com/u/bjurasz)\ **Post date:** [October 30, 2026, 5:00pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/10 "2026-10-30T17:00:21Z")
> [@btresist](#): > > Intel is interesting, having dropped almost 30% by midday. Can America afford to let one of its major chipmakers disappear? Intel is a major chipmaker only in that they make an awful lot of advanced chips, but only of their own design. They are not a major chip maker in that they do not have a variety of fabs, nor make a variety of chips. Unlike TSMC for example. Or Texas Instruments. Or many others. Intel has only just started ambitions at becoming a contract chip fabricator of the likes of a TSMC. We don’t know if they will be successful at that. So if they fail at it I’m not entirely sure what we are losing. ---
**Author:** ![captainccs](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/captainccs/32/3775_2.png) [@captainccs](https://discussion.fool.com/u/captainccs)\ **Post date:** [October 30, 2026, 5:56pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/11 "2026-10-30T17:56:55Z")
> [@FOOLME45](#): > > Is this potentially a buying opportunity? Not really. My port was losing money earlier this year. With the AI boom it rocketed past Nasdaq composite. With today sell off it is still well above the averages. The **Massive AI sell off** is just a bit of a correction. AI related stocks are VERY, VERY, VERY volatile. These past six months TSLA went up to $453, down to $299, and now $397. A 34% drop and a 33% recovery. Most investors can’t stomach this level of volatility. The Captain ---
**Author:** ![McLovin1981](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/mclovin1981/32/64391_2.png) [@McLovin1981](https://discussion.fool.com/u/McLovin1981)\ **Post date:** [October 30, 2026, 6:21pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/12 "2026-10-30T18:21:07Z")
> [@pauleckler](#): > > The most disturbing info is that Google missed their ad targets implying that AI is stealing from search. No need to imply it. They straight up said that was happening. However, overall revenue was up 25% with increasing margins. That’s a pretty great quarter no matter how you slice it. Google Cloud revenues, which is the bubbly part everyone is worried about, were up over 100% with a reported half trillion dollar backlog. The thing giving analysts vapors is that free cash flow was negative. That’s Not Good™ for obvious reasons. On the other hand, if you can grow revenues at 100% shouldn’t you be investing every thin dime you can find? If Cloud keeps growing at this rate it will be bigger than search by next year. I’m not saying it can do that, but that’s the scale of what we are looking at. ---
**Author:** ![McLovin1981](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/mclovin1981/32/64391_2.png) [@McLovin1981](https://discussion.fool.com/u/McLovin1981)\ **Post date:** [October 30, 2026, 7:05pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/13 "2026-10-30T19:05:30Z")
> [@btresist](#): > > Seriously, why deal with cloud connections and security concerns when you can have your own locally run AI. > > And Apple doesn’t need to build data centers to win this race. Everyone else is burning money to develop the AI while is Apple is preparing the product that will be sold to the masses. You don’t need Apple to run AI locally on your PC. You might need some additional hardware, like below. And sure, there are lots of reasons why you’d want to run AI locally. But there are lots of advantages of cloud AI too, especially for enterprise users which is where the money is. [https://www.bestbuy.com/product/pny-nvidia-rtx-pro-4000-blackwell-architecture-24gb-gddr7-pci-express-5-0-graphics-card-black/JXF2C46VZL/sku/6680265?utm\_source=feed](https://www.bestbuy.com/product/pny-nvidia-rtx-pro-4000-blackwell-architecture-24gb-gddr7-pci-express-5-0-graphics-card-black/JXF2C46VZL/sku/6680265?utm_source=feed) ---
**Author:** ![FOOLME45](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/foolme45/32/2642_2.png) [@FOOLME45](https://discussion.fool.com/u/FOOLME45)\ **Post date:** [October 30, 2026, 7:25pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/14 "2026-10-30T19:25:33Z")
> [@btresist](#): > > On the other hand, it seems increasingly clear to me that one of the big winners in this AI race is going to be Apple. The Mac Studio desktop can already run the DeepSeek V3 LLM model at 20token/sec without any cloud connection. The needed configuration costs about $10k, but that number will undoubted go down as Apple improves its chips. I’m a long term holder of apple. I don’t know how big of a winner it will be in the AI race but I hope you are right. It is on the buy list and I have price targets where I intend to add tranches. ---
**Author:** ![FOOLME45](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/foolme45/32/2642_2.png) [@FOOLME45](https://discussion.fool.com/u/FOOLME45)\ **Post date:** [October 30, 2026, 7:27pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/15 "2026-10-30T19:27:47Z")
> [@captainccs](#): > > These past six months TSLA went up to $453, down to $299, and now $397. A 34% drop and a 33% recovery. Most investors can’t stomach this level of volatility. I think I remember reading somewhere the average peak to trough of a stock is 50% over a 12 month period. Volatility is simply the price of admission. ---
**Author:** ![Volucris](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/volucris/32/70577_2.png) [@Volucris](https://discussion.fool.com/u/Volucris)\ **Post date:** [October 30, 2026, 8:03pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/16 "2026-10-30T20:03:08Z")
> [@pauleckler](#): > > The most disturbing info is that Google missed their ad targets implying that AI is stealing from search. Maybe. Google fell all over themselves to change the names to Gulf of 'Merica, etc. Maybe a lot of people were disgusted with them and switched to Duck Duck Go, like I did. ---
**Author:** ![JimA759s](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/jima759s/32/2844_2.png) [@JimA759s](https://discussion.fool.com/u/JimA759s)\ **Post date:** [October 30, 2026, 8:23pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/17 "2026-10-30T20:23:07Z")
> [@Volucris](#): > > Google fell all over themselves to change the names to Gulf of 'Merica, I don’t think this is accurate. I suspect Google Maps has a direct connection to the DB of the government agency that deals with names. And, of course, THE Guy tells the agency to make the change and this is automatically replicated to everyone that uses that DB for their mapping software. Of course, Google could manually adjust their software to reflect reality but why irritate THE Guy! JimA ---
**Author:** ![Leap1](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/leap1/32/72176_2.png) [@Leap1](https://discussion.fool.com/u/Leap1)\ **Post date:** [October 30, 2026, 8:33pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/18 "2026-10-30T20:33:53Z")
> [@FOOLME45](#): > > It is on the buy list and I have price targets where I intend to add tranches. The PE may never return to 40. ---
**Author:** ![Leap1](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/leap1/32/72176_2.png) [@Leap1](https://discussion.fool.com/u/Leap1)\ **Post date:** [October 30, 2026, 8:35pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/19 "2026-10-30T20:35:57Z")
> [@bjurasz](#): > > They are not a major chip maker in that they do not have a variety of fabs, nor make a variety of chips. I have not researched the numbers. Intel is deeper into the foundry business now. > **[SharpCharts | StockCharts.com](https://stockcharts.com/sc3/ui/?s=TSM)** > > StockCharts.com's SharpCharts Workbench ---
**Author:** ![FOOLME45](https://sea2.discourse-cdn.com/motleyfoolfree/user_avatar/discussion.fool.com/foolme45/32/2642_2.png) [@FOOLME45](https://discussion.fool.com/u/FOOLME45)\ **Post date:** [October 30, 2026, 8:40pm UTC](https://discussion.fool.com/t/massive-ai-sell-off/127006/20 "2026-10-30T20:40:55Z")
> [@Leap1](#): > > The PE may never return to 40. I’ve never modeled 40 as a target to add shares. It’s provided numerous occasions over the last decade or so to buy at more attractive prices in line with its historical price to earnings multiple. Of course, there are other valuation methods that consider return on equity and Apple’s ability to take excess cash flow to buy its own shares at attractive prices, further enriching existing shareholders. Nothing better than a strong business with above average margins able to produce excess cash flows that can go back to shareholders in the form of dividends, cash on the books, or reduced share count. [Next page](https://discussion.fool.com/t/massive-ai-sell-off/127006.md?page=2)