10 Stocks Trade Weaker on Disappointing News

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1. Samsara Inc. (NYSE:IOT)

Samsara fell for a fifth straight day on Friday, slashing 15.57 percent to end at $35.36 apiece as investor sentiment was dampened by weak outlook guidance, shunning impressive earnings performance during the last quarter.

For the fiscal year 2026, IOT said it expects revenues to settle between $1.523 billion and $1.533 billion, with the midpoint falling just shy of the $1.53 billion as expected by analysts.

For the last quarter, IOT narrowed its net loss by 90 percent to $11.2 million from $113 million year-on-year, while revenues rose by 25 percent to $346 million from $276 million.

During the fiscal year ending February 1, 2025, net loss narrowed by 46 percent to $154.9 million from $287 million, while revenues grew 33 percent to $1.25 billion from $937 million year-on-year.

While we acknowledge the potential of IOT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than IOT but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

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