Ten companies fell sharply on Wednesday, mirroring a broader market pessimism, as investors soured on growing concerns about the AI industry.
On Wall Street, the tech-heavy Nasdaq led losses, down 1.81 percent, followed by the S&P 500, declining 1.16 percent, and the Dow Jones, dropping 0.47 percent.
In this article, we focus on the 10 big names with the largest losses and break down the reasons behind their drop.
To come up with the list, we focused on the stocks with a $2 billion market capitalization and 5 million shares in trading volume.
Stock market reports printed on a sheet of paper. Photo by RDNE Stock Project on Pexels
10. NuScale Power Corp. (NYSE:SMR)
NuScale Power extended its losing streak to a fourth consecutive day on Wednesday, shedding 8.12 percent to close at $15.73 apiece as investors unloaded portfolios on news that it was increasing its authorized capital stock by nearly double.
In a regulatory filing on the same day, NuScale Power Corp. (NYSE:SMR) said that it sought the approval of the Secretary of State of the State of Delaware for its plan to raise its authorized capital stock to 662 million shares with a par value of $0.0001 apiece, from 332 million at present.
The drop, on the other hand, was primarily dragged by concerns about the potential impact of new share issuance on NuScale Power Corp.’s (NYSE:SMR) current shareholders.
The plan has already been approved by the Board of Directors during a special meeting on Tuesday, December 16.
NuScale Power Corp. (NYSE:SMR) also mirrored a broader market pessimism, as investors disposed of shares in companies riding the wave, including energy firms.
In the third quarter of the year, NuScale Power Corp. (NYSE:SMR) expanded its net loss attributable to shareholders by 1,470 percent to $273 million from $17 million in the same period last year.
Revenues, on the other hand, increased by 1,635 percent to $8.2 million from only $475,000 year-on-year.
9. Ondas Holdings Inc. (NASDAQ:ONDS)
Ondas dropped its share prices by 8.90 percent on Wednesday to finish at $7.37 apiece, mimicking a broader market pessimism dragged by increasing fears over heavy spending on AI, while investors continued to take profits ahead of the Christmas holiday.
The drop came despite developments in Ondas Holdings Inc. (NASDAQ:ONDS), which had completed its acquisition of Roboteam, effectively expanding its operations in combat-proven unmanned ground vehicle platforms and complementing its existing aerial autonomy, counter-UAS, and intelligence capabilities.
Once successfully integrated, Roboteam would operate under Ondas Holdings Inc.’s (NASDAQ:ONDS) business unit, Ondas Autonomous Systems.
In other news, Ondas Holdings Inc. (NASDAQ:ONDS) also joined forces with Heidelberger Druckmaschinen AG—a company engaged in technology and mechanical engineering—to jointly examine the establishment of European manufacturing and integration capacity across the listed firm’s autonomous systems portfolio.
The two parties signed a memorandum of understanding on Wednesday in support of Germany and Israel’s celebration of their 60th year of diplomatic relations.
Ondas Holdings Inc. (NASDAQ:ONDS) said that its partnership would focus on counter-UAV (C-UAV) solutions and Intelligence, Surveillance and Reconnaissance (ISR) systems.
“Through this collaboration, we gain leading expertise in the detection and defence against drones, while Ondas gains an industrialisation partner in Europe that is ready to start immediately. This will enable European security authorities to be supplied at short notice and critical infrastructure in Europe to be protected against drone attacks. A true win-win situation in a field of technology that is currently as important as hardly any other,” said German Federal Minister for Economic Affairs and Energy Katherina Reiche.
8. Opendoor Technologies Inc. (NASDAQ:OPEN)
Opendoor Technologies tumbled by 9.06 percent on Wednesday to finish at $6.12 apiece as investors took path from pessimism in the broader market, while digesting changes in its leadership composition.
In a regulatory filing earlier this week, Opendoor Technologies Inc. (NASDAQ:OPEN) announced the appointment of Lucas Matheson as president, effective Dec. 22, 2025, replacing Shrisha Radhakrishna, who temporarily assumed the role following the resignation of Carrie Wheeler as the company’s chief executive officer (CEO) this year.
Radhakrishna, however, will continue to serve as chief technology and product officer for the company.
Before joining Opendoor Technologies Inc. (NASDAQ:OPEN), Matheson served as CEO of Coinbase Canada Inc. for three years, as well as several directorship positions at Shopify.
In connection with his appointment, Opendoor Technologies Inc. (NASDAQ:OPEN) said that Matheson accepted the company’s formal offer that would entitle him to receive an annual base salary of $500,000 and a sign-on bonus of $200,000 on Jan. 1, 2026, subject to repayment if his employment terminates before his first year as president of the company.
He would also be eligible to receive severance payments under Tier 2 Executive.
On the first day of his employment, Opendoor Technologies Inc. (NASDAQ:OPEN) said that it would award Matheson with an award of performance restricted stock units amounting to $6 million, 20 percent of which will be vested on Apr. 15, 2026, with the remainder to be vested in quarterly installments, subject to his continued employment.
7. Oklo Inc. (NYSE:OKLO)
Oklo dropped its share prices by 9.06 percent on Wednesday to finish at $75.94 apiece as investors took path from an analyst’s “sell” recommendation for its stock.
In the latest episode of Mad Money, host and former hedge fund manager Jim Cramer recommended unloading shares in Oklo Inc. (NYSE:OKLO).
“I would sell Oklo. I just would sell everything nuclear except for GEV (GE Vernova),” Cramer said.
“The revolution is not going to happen, nuclear in this country, as much as I’ve been calling for it for 25 years,” he added.
Additionally, Cramer claimed that Oklo Inc. (NYSE:OKLO) puts out news releases that would prop up its prices every time he would recommend selling.
“They seem to juice the stock every time I urge people to [sell]. Try to keep a level head about Oklo,” he noted.
In other news, Oklo Inc. (NYSE:OKLO) announced progress on its planned fuel fabrication facility at the Idaho National Laboratory, following the issuance of a Preliminary Documented Safety Analysis (PDSA).
The PDSA marks the second of three safety-basis documents to be approved for the authorization of the facility, with the last being Documented Safety Analysis (DSA), an update to the PDSA based on final design and construction. The DSA will be submitted during construction and updated to reflect the final build once the facility is completed.
6. Applied Digital Corp. (NASDAQ:APLD)
Applied Digital slashed its share prices by 9.24 percent on Wednesday to close at $22 apiece as investors turned increasingly wary about the AI industry, supported by an investment firm’s withdrawal of its financial support for one of Oracle Corp.’s data center projects.
On the same day, a report said that Blue Owl Capital backed out from a plan to support Oracle’s data center through a $10 billion data center, a claim which the latter confirmed, but underscored that construction remains on track.
The bad news spilled over to AI-linked companies, including Applied Digital Corp. (NASDAQ:APLD), as investors grew increasingly concerned that financial institutions may be turning more cautious about funding capital-intensive AI projects.
In other news, Applied Digital Corp. (NASDAQ:APLD) announced in a blog post shared Monday that it was in talks with companies for three of its data center campuses.
“We’re negotiating for two or three other campuses at the moment. The demand just keeps coming,” Applied Digital Corporation (NASDAQ:APLD) CEO Wes Cummins was quoted as saying in an interview shared on the firm’s social media.
It was unclear whether the negotiations were for a potential leasing partnership or a fundraising activity, but investors took the announcement as a cue about its ongoing expansion program.
5. Quantum Computing Inc. (NASDAQ:QUBT)
Quantum Computing fell by 9.32 percent on Wednesday to finish at $10.22 apiece as investors soured on an analyst’s weak rating in its initial coverage for its stock.
In a market report, Wedbush issued a “neutral” rating on shares of Quantum Computing Inc. (NASDAQ:QUBT), alongside a $12 price target. Still, the figure marks a 17 percent upside potential from its latest closing price.
Its rating for Quantum Computing Inc. (NASDAQ:QUBT), however, is notably more conservative as compared with the latter’s counterparts, namely IonQ, Rigetti Computing, and D-Wave Quantum, which were rated “outperform.”
“Quantum computing remains in its nascent stages, but we view it as a transformational technology with significant long-term potential which we believe will ultimately represent the next frontier of computing,” Wedbush said.
“We expect that by the end of the decade, quantum computing companies will represent a larger share of the total spend on compute from what is a very small base today. Specifically, we project that quantum computing spending on the four covered companies could reach just under 2 percent of total compute expenditures by 2030, from virtually nothing today, as the technology moves from research to commercial applications,” it added.
“The combination of significant [total addressable market] growth, real-world benefits from optimization, and potential energy efficiencies makes quantum a generational investment theme.”
4. AST SpaceMobile, Inc. (NASDAQ:ASTS)
AST SpaceMobile declined by 9.52 percent on Wednesday to finish at $61.86 apiece as investors mirrored a broader market pessimism, while repositioning portfolios ahead of the rescheduled launch of its next-generation satellite.
The selloff was triggered by lingering concerns after AST SpaceMobile, Inc.(NASDAQ:ASTS) pushed back the long-awaited launch of its BlueBird 6 satellite to Sunday, December 21, originally scheduled for December 15.
Investors took the news negatively on concerns about potential execution risks and the impact of further setbacks on the company’s commercialization plans and near-term revenue visibility.
According to AST SpaceMobile (NASDAQ:ASTS), the BlueBird 6 would feature the largest commercial phased array in low Earth orbit at nearly 2,400 square feet, representing a 3.5 times increase in size over the first to fifth generations, and supports 10 times the data capacity. It is targeted to enable ubiquitous cellular broadband coverage directly to everyday smartphones from space.
AST SpaceMobile, Inc. (NASDAQ:ASTS) is also planning to ramp up the production of the next-generation satellite, with the expansion of its manufacturing sites in Texas and Florida.
Sunday’s launch would mark the first of six planned launches until March 2026.
3. Terawulf Inc. (NASDAQ:WULF)
Terawulf fell by 10.93 percent on Wednesday to close at $11.57 apiece as investors trimmed their positions in AI-linked stocks over fears about their heavy spending on the industry.
The drop was triggered by Blue Owl Capital’s withdrawal of its $10 billion financial backing for Oracle Corp.’s data center project in Michigan, amid the latter’s scale of borrowing to fund its AI expansion plans.
At its earnings call last week, analysts highlighted Oracle’s $108 billion debt, sparking concerns about how quickly it would be able to pay off obligations and recoup its investments.
The pessimism spilled over to HPC stocks, including Terawulf Inc. and Applied Digital Corp., among others.
Originally a Bitcoin-mining firm, Terawulf Inc. (NASDAQ:WULF) transitioned into HPC and AI servicing to capture the rapidly growing demand for data services.
In the third quarter of the year, the company raked in $50.58 million in total revenues, marking an 87 percent expansion from $27.06 million in the same period last year.
Of the total, digital assets remained the highest revenue generator, accounting for $43.37 million, while HPC leasing generated $7.2 million versus none in the same period last year.
Net loss, on the other hand, widened by nearly 2,000 percent to $455 million from $22.7 million year-on-year.
2. Bloom Energy Corp. (NYSE:BE)
Bloom Energy extended its losing streak to a fourth straight day on Wednesday, shedding 12.14 percent to finish at $76.97 apiece as investors trimmed their positions in AI-linked stocks amid growing concerns about the industry.
Bloom Energy Corp. (NYSE:BE) took a hit from heavy AI selling, having been riding the wave since early this year, triggered by Blue Owl Capital’s pullout from its planned $10 billion financial support to Oracle Corp.’s data center in Michigan.
Investors became increasingly concerned about financial institutions’ growing concerns about technology giants’ ballooning spending on AI.
Bloom Energy Corp. (NYSE:BE) defied the rally in the energy sector.
Earlier this month, Bloom Energy Corp. (NYSE:BE) posted a bullish outlook about its business amid “powerful tailwinds” including the surging demand for electricity driven by AI and nation-state priorities, among others.
In the third quarter of the year, the company widened its net loss attributable to shareholders by 56 percent to $23 million from $14.7 million year-on-year.
Revenues, on the other hand, grew by 57 percent to $519 million from $330 million in the same period last year, on the back of a 55.7 percent jump in product and service revenues during the same period.
1. Fluence Energy Inc. (NASDAQ:FLNC)
Fluence extended its losing streak to a fourth consecutive day on Wednesday, dropping 12.86 percent to finish at $18.57 apiece as investors unloaded portfolios of AI-linked stocks amid increasing concerns about the industry’s heavy spending.
Fluence Energy Inc. (NASDAQ:FLNC) dropped alongside its counterparts, triggered by Blue Owl Capital’s withdrawal of its $10 billion support to Oracle Corp.’s data center in Michigan, which sparked concerns that financial institutions are growing wary about the industry’s scale of borrowings.
On Wednesday, Oracle confirmed that Blue Owl withdrew its funding support following concerns about its $108 billion debt, a significant jump from last year, as it aggressively expanded on AI.
However, Oracle said that construction of the data center remains on track.
Fluence Energy Inc. (NASDAQ:FLNC) is an energy storage solutions provider, which has become a market darling earlier this month, having earned bullish coverage and higher price targets from seven investment companies, namely UBS, Citigroup, Jefferies, Goldman Sachs, Susquehanna, Morgan Stanley, and Canaccord.
While we acknowledge the potential of FLNC to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than FLNC and that has 100x upside potential, check out our report about this cheapest AI stock.
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