10 Stocks Investors Are Running Away From

Ten stocks fell sharply on Tuesday, mirroring a pessimistic broader market, as investors unloaded positions mainly to take advantage of last week’s huge gains.

On Wall Street, the Nasdaq fell by 1.16 percent, followed by the S&P 500 declining 0.45 percent, while the Dow Jones was down by 0.25 percent.

In this article, we focus on the performance of the 10 worst-performing stocks and detail the reasons behind their drop.

To come up with the list, we considered only the stocks with a $2 billion market capitalization and 5 million shares in trading volume.

10. Sandisk Corp. (NASDAQ:SNDK)

Sandisk extended its losing streak to a fourth consecutive day on Tuesday, shedding 7.26 percent to close at $1,617.70 apiece, as investors resumed profit-taking to take advantage of its high valuation.

Last month alone, shares in Sandisk Corp. (NASDAQ:SNDK) surged by as much as 38.9 percent, hitting a peak of $2,354.39 amid the ongoing strong demand for memory and storage products, thanks to the rapidly growing AI. This year alone, the stock has already climbed by as much as 892 percent.

The surge was further validated by Apple Corp.’s planned increase in the prices of its products, citing the high memory costs.

Additionally, tight supply for the NAND market is expected further beyond 2027, sparking further rosy prospects for Sandisk Corp. and its counterparts.

Late last month, Sandisk Corp. earned a 23 percent price target upgrade from Citigroup, at $2,500 versus $2,025 previously, following Micron Technology’s strong earnings performance and even stronger outlook for the fourth quarter of fiscal year 2026.

“We remain constructive on favorable NAND supply/demand fundamentals on durable AI-led datacenter demand (KV cache offloading to more cost-effective SSDs),” Citigroup said.

9. Vishay Intertechnology Inc. (NYSE:VSH)

Vishay Intertechnology fell by 8.62 percent on Tuesday to end at $42.19 apiece, as investors unloaded positions amid the share dilution potential of its convertible senior notes due 2030.

On Sunday, July 5, holders of Vishay Intertechnology Inc.’s (NYSE:VSH) 2.25 percent convertible senior notes due 2030 have been allowed to convert their holdings into cash or shares, or both, until October 3, 2026.

The notes became convertible after its share price jumped by more than 130 percent of the conversion price, or the required threshold on at least 20 trading days within a 30-day trading period.

The notes are convertible at a conversion rate of 33.1609 shares of common stock per $1,000 principal amount of notes, which is equivalent to a conversion price of approximately $30.16 apiece.

Noteholders would be able to take advantage of a 40 percent premium over their conversion price, with the stock already trading at $42.24 as of writing.

In other news, Vishay Intertechnology Inc. on Tuesday introduced new power chips designed to make electric motors and power systems run more reliably in noisy electrical environments.

According to the company, the new chips are designed to avoid accidental switching caused by electrical interference and help deliver a smoother and more stable performance.

8. Bloom Energy Corp. (NYSE:BE)

Bloom Energy slashed its share prices by 8.64 percent on Tuesday to finish at $269.57 apiece, as investors resorted to profit-taking following the previous day’s surge, while waiting for fresh catalysts to boost buying appetite.

Investors may have also begun repositioning portfolios ahead of the release of its second quarter earnings performance on July 28, 2026.

According to the company, it will hold a conference call after market close on the said date to elaborate on the results.

Investors are expected to watch for Bloom Energy Corp.’s (NYSE:BE) updated outlook for the full-year period, as well as further details on its “fivefold” expansion initiative with Brookfield.

Late last month, the two parties announced plans to expand their fuel cell partnership to $25 billion from $5 billion previously in line with the strong and sustained demand from hyperscalers and AI infrastructure developers for fast, reliable, and community-friendly power.

The expanded partnership also forms part of Brookfield’s $100 billion AI infrastructure fund target as it eyes to focus its investments in large AI factories power solutions, compute infrastructure, and strategic capital partnerships.

“[This] commitment reflects the momentum we are seeing in the market, as evidenced by recently announced large-scale deals. Bloom is uniquely positioned to address the urgent need for clean, reliable power to support the rapid growth of AI. We are pleased with our partnership with Brookfield and look forward to deepening our collaboration on large projects,” said Bloom Energy Corp. Chief Commercial Officer Aman Joshi.

7. Solstice Advanced Materials Inc. (NASDAQ:SOLS)

Solstice extended its losing streak to a fourth consecutive day on Tuesday, slashing 8.74 percent to close at $62.10 apiece, as investors turned sour on its plan to acquire Element Solutions for $14.5 billion.

In a statement on the same day, the company said that it entered into a definitive agreement with Element for their planned merger in a cash-and-stock transaction for the said amount, including the assumption of net debt.

However, investors appeared lukewarm to the plan, selling off positions to slash Solstice Advanced Materials Inc.’s (NASDAQ:SOLS) share prices by as much as 11 percent in intra-day trading.

In an interview with Mad Money on CNBC, Solstice Advanced Materials Inc. CEO David Sewell believed that the sell-off was partially triggered by deep-pocketed traders making short-term bets on both stocks in the deal, rather than doubts over the company’s merger plan.

“We know there were a lot of hedge funds, a lot of arbitrage in there. We’ve been telling the story. Reporting has been very positive on the strategic rationale for the deal,” he said, adding that the acquisition would broaden the firm’s exposure across AI infrastructure supply chain, and support its capabilities in semiconductor fabrication, advanced chip packaging, and thermal management.

6. Terawulf Inc. (NASDAQ:WULF)

Terawulf dropped its share prices by 8.87 percent on Tuesday to end at $20.24 apiece as investors resorted to profit-taking to take advantage of as much as 18.7 percent climb the day prior.

This followed news on Monday that it successfully bagged a $19 billion leasing agreement with AI startup, Anthropic, for the delivery of critical IT load for a period of 20 years.

Under the agreement, Terawulf Inc. (NASDAQ:WULF) will deliver 401 MW of critical IT load to the AI firm, to be developed in multiple phases. Initial capacity is targeted for delivery in the second half of 2027, to be followed by the balance by early 2028.

“The Anthropic lease validates our strategy and establishes a long-duration revenue stream with one of the world’s leading AI companies. The lease provides approximately $19 billion of contracted lease revenue over its initial term, creates a framework for future expansion, and demonstrates the value of our ability to source power, develop infrastructure, and secure long-term customer commitments,” said Chairman and CEO Paul Prager.

Separately, Terawulf Inc. entered into a definitive agreement with a group of investors led by Fluidstack for the sale of its entire 50.1 percent stake in the Abernathy joint venture project, successfully monetizing its $450 million at a premium.

Established only last year, the Abernathy project aims to develop a 168 MW critical IT load data center in Abernathy, Texas.

Upon closing of the transaction, Fluidstack will continue leading the project.

5. Intel Corp. (NASDAQ:INTC)

Intel saw its share prices drop by 9.66 percent on Tuesday to close at $110.39 apiece, as investors resorted to profit-taking while trading sideways amid the lack of industry-related developments to boost buying appetite.

Year-to-date, the company has already jumped by 286 percent, thanks to the strong demand for semiconductors amid the artificial intelligence boom. This month alone, Intel Corp. (NASDAQ:INTC) has seen its stock price surge by 21.7 percent.

Despite Tuesday’s drop, Intel Corp. currently holds a strong buy recommendation from multiple analysts, with HSBC alone doubling its price target for the stock to $200 from $100 previously.

Meanwhile, Bank of America recently issued an 18.5 percent price target upgrade to $160 from $135 prior, while reaffirming its buy recommendation.

New Street Research, for its part, upgraded its price by 22 percent to $122 from $100.

In other news, Intel Corp. is set to announce the results of its earnings performance for the second quarter of the year on July 23, 2026. A conference call will be held to elaborate on the results.

For the period, the company is targeting to rake in revenues of $13.8 billion to $14.8 billion, or an implied growth of 7 percent to 14.7 percent from the $12.9 billion in the same period last year.

Diluted earnings per share are projected at $0.08, reversing a $0.67 loss year-on-year.

4. Redwire Corp. (NYSE:RDW)

Shares in Redwire Corp. declined by 10.12 percent on Tuesday to end at $10.21 apiece, as investors disposed of positions amid a broader market pessimism, while waiting for fresh catalysts to boost buying appetite.

Redwire Corp. (NYSE:RDW) dropped alongside Wall Street’s three major indices, with the Nasdaq leading the drop by 1.16 percent, followed by the S&P 500 by 0.45 percent, and the Dow Jones, down 0.25 percent.

In other news, Redwire Corp. recently bagged a supply deal with Taiwan Color Optics, Inc., a subsidiary of SemiLux International Ltd., for the delivery of its Penguin Mk2.5 VTOL Uncrewed Aerial System in a bid to support Taiwan’s broader maritime security and defense resilience planning.

With the ability to take off and land vertically, the Penguin Mk2.5 VTOL can be rapidly deployed, even in harsh or contested environments. Easily adaptable to meet variety of operations, the platform is well equipped to conduct day and night ISR missions, with the ability to track and target small moving objects.

3. Rocket Lab Corp. (NASDAQ:RKLB)

Rocket Lab extended losses for a second day on Tuesday, shedding 10.40 percent to end at $83.41 apiece, as investors mirrored its chief executive’s disposition of a significant stake in the company.

In a regulatory filing on Monday, the space player said that its CEO Peter Beck has sold 5 million shares in the company on the same day, as part of his selling plan dated March 27, 2026.

The sale also followed the stock’s clawback to the $100 level following recent news that it is expanding into satellite communications for $8 billion with the acquisition of Iridium Communications Inc.

According to Rocket Lab Corp. (NASDAQ:RKLB), it officially signed a definitive agreement with Iridium to acquire all its issued and outstanding shares in a combination of stock and cash.

The shares will be acquired at a price of $54 apiece, or a 24 percent premium over Iridium’s $43.52 closing price on Friday, prior to the announcement.

Rocket Lab Corp. said that the acquisition was in line with plans to create a competitive, vertically integrated space company that designs, builds, launches, and operates its own constellations.

Upon closing, Rocket Lab Corp. will effectively gain a foothold in the space-based applications market.

“By marrying Iridium’s deep heritage, trusted infrastructure, and highly sought-after spectrum with Rocket Lab’s extensive and proven launch and manufacturing capabilities, we have the capability to unlock entirely new markets. We will go far beyond maintaining a legacy; we are going to build upon it to pioneer next-generation space applications and deliver sought-after capabilities to existing and new customers,” Beck said.

2. Rivian Automotive Inc. (NASDAQ:RIVN)

Rivian Automotive saw its share prices decline by 18.12 percent on Tuesday to close at $16.49 apiece, as investors soured on its plans to sell up to 86.25 million new shares to repay existing debt.

In a statement on Monday, Rivian Automotive Inc. (NASDAQ:RIVN) said that the follow-on offer would involve the primary sale of 75 million common shares and up to 11.25 million in overallotment option for its underwriters.

Proceeds from the offer will be used to fund general corporate purposes, including the repayment of its loan with the Department of Energy.

Earlier this year, Rivian Automotive Inc. was able to draw a $4.5 billion loan from the DOE to help finance construction of its new manufacturing facility in Georgia.

The amount was lower than the $6.57 billion initial loan, which would have supported two phases for a total production capacity of 400,000 units annually. However, the amended loan only covers the first phase of manufacturing with a total capacity of 300,000 vehicles a year.

The expansion initiative supports the recently launched R2 mid-size SUV, which has been rolling off the production line at the company’s manufacturing facility in Normal, Illinois. Initial deliveries officially kicked off, with Rivian Automotive Inc. extending invitation orders for existing R2 reservation holders.

1. T1 Energy Inc. (NYSE:TE)

T1 Energy dropped its share prices by 19.65 percent on Tuesday to close at $6.95 apiece, as investors unloaded positions in solar stocks following last week’s expiration of federal tax credits.

The expiration forms part of the One Big Beautiful Bill Act, under which commercial solar projects must have begun construction last July 4 and be placed in service by December 31 this year to remain qualified for a 30 percent government incentive. Otherwise, they would lose eligibility for the credits.

With the deadline now passed, markets are pricing in lower bookings for solar providers in the second half of the year amid higher costs, and are expected to impact revenue growth for key players such as T1 Energy Inc. (NYSE:TE) in the third and fourth quarters of the year.

In other news, T1 Energy Inc. was recently named a new member to the S&P Semiconductors Select Industry and to a number of Russell indices and its subsets during a regular rebalancing.

Its addition opened the doors for higher exposure to global institutional and retail investors.

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