Benzinga·2025-11-05 13:30Core Insights - SoftBank Group's shares fell by 10% in Japan, reflecting broader concerns over inflated valuations in AI-related stocks, resulting in a loss of approximately $13 billion from CEO Masayoshi Son's net worth [1][2]. Group 1: Market Trends - The decline in SoftBank's stock is part of a larger trend affecting AI-linked companies, with investors expressing apprehension about inflated valuations in the market's most popular trade [2]. - On a single day, the AI market experienced a significant downturn, erasing over $500 billion in market value, despite strong earnings from Palantir Technologies [4]. Group 2: Company Performance - SoftBank Group holds a majority stake in Arm Holdings, which saw its shares drop by 4.71% amid market concerns [3]. - Samsung Electronics and SK Hynix also experienced declines in their shares, with decreases of 4.1% and 1.19%, respectively [3]. Group 3: Industry Reactions - CEO Alex Karp of Palantir criticized short-sellers for betting against profitable companies in the AI sector, arguing that it is illogical to bet against firms driving the industry [5]. - Industry experts, such as Dan Ives from Wedbush, dismissed warnings from short-sellers as misinterpretations of the long-term direction of companies in the AI space [6].