Benzinga Bulls And Bears: Nvidia, CoreWeave, Oklo — And AI-Linked Stocks Keep Falling

Core Insights - Wall Street experienced a downturn as AI-related stocks faced significant selling pressure, particularly Nvidia Corp. and Palantir Technologies Inc., despite their strong earnings reports [2][3] - The Roundhill Magnificent Seven ETF saw a decline of 3.8%, resulting in a loss of approximately $1 trillion in market capitalization for major companies like Apple, Microsoft, and Tesla [2] - Concerns are rising that the AI sector may be overheating, with investor Michael Burry taking short positions against Nvidia and Palantir, contributing to fears of a market correction [3] Company Performance - Nvidia Corp. was reaffirmed with a "Buy" rating by Bank of America Securities, with expectations of about 50% revenue growth and 70% earnings-per-share growth by 2026, trading at around 24 times forward earnings [5] - CoreWeave Inc. reported Q3 revenue of $1.36 billion, exceeding analyst estimates of $1.29 billion, and its revenue backlog nearly doubled to $55.6 billion [6] - Virgin Galactic Holdings Inc. saw its shares rise after reporting Q3 revenue of $2.74 million, an increase from $1.7 million a year earlier, and provided updates on its spaceflight plans [7] Earnings Misses - Oklo Inc. reported a Q3 loss of $0.20 per share, missing estimates of a $0.12 loss, and the stock fell sharply despite holding $410 million in cash [8] - Rigetti Computing Inc. had mixed Q3 results, with an adjusted EPS of $0.09 beating expectations, but revenue of $1.95 million fell short of the $2.04 million forecast [9] - USA Rare Earth Inc. reported a Q3 loss of $0.25 per share, wider than the expected $0.10 loss, while ending the quarter with approximately $258 million in cash [10]