One of the byproducts of the accelerating adoption of artificial intelligence (AI) has been the investor practice — for better or for worse — of viewing AI stocks collectively. In many instances, developments concerning one company in the space can have a ripple effect, bringing a broad cross-section of stocks in the space up or down with them. That appears to be the case Monday morning, as two developments seem to be having on outsize impact on AI companies.
With that as a backdrop, foundry Taiwan Semiconductor Manufacturing (NYSE: TSM) tumbled 4.1%, social media company Meta Platforms (NASDAQ: META) slumped 4%, chipmaker Advanced Micro Devices (NASDAQ: AMD) dropped 3.8%, computer memory specialist Micron Technology (NASDAQ: MU) declined 3.1%, and semiconductor specialist Broadcom (NASDAQ: AVGO) fell 1.9%, as of 1:32 p.m. ET on Monday.
A check of all the usual suspects — regulatory…
