Analysts Just Slashed Their Price Targets on These 10 Stocks

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Wall Street had its worst day in 19 months last Thursday, with chip stocks leading the selloff. The Nasdaq Composite fell 5.52% to 24,315.00, its biggest one-day drop since the April 2025 tariff announcement. The S&P 500 fell 4.36% to 7,353.73, erasing about $3 trillion in market value and marking its worst day since that same tariff crash. The Dow lost 3.44%.

The Nasdaq is now in a correction, more than 10% below the record close it set last month. Volume was heavy: 26.9 billion shares changed hands, against a 20-session average of 17.7 billion.

Fear of Tighter AI Rules Hit Chip Stocks

The trigger was politics. Investors worried about tighter AI regulation after Democrats won control of Congress, including in states where opposition to new data centers has been growing. The Philadelphia SE Semiconductor index fell more than 12% in one session, its worst day since March 2020. Candidates in both parties had campaigned against AI data centers, Yahoo Finance’s Jared Blikre reported.

Melissa Brown, global head of investment decision research at SimCorp, said some newly elected members of Congress and governors want to slow the pace of AI infrastructure development, and that any slowdown would raise concerns. We covered the group’s earlier pullback in our list of oversold AI stocks that Wall Street analysts saw 50%+ upside in, published before the selloff.

A Partial Rebound, With Rate Hikes Still in View

Jed Ellerbroek, portfolio manager at Argent Capital Management, called Thursday “the capitulation phase for the data center capex beneficiary stocks” and said the size of the moves looked excessive. Chip stocks did bounce on Friday: the semiconductor index rose 4.2% and the Nasdaq gained 1.1% to 24,579.43, and the S&P 500 rose 0.32% to 7,376.86, while the Dow slipped 0.46% to 51,285.73. But the Nasdaq still posted its fourth straight weekly decline, down 3.4% for the week, while the S&P 500 fell 2.7%, its worst week since June, and the Dow fell 0.9%.

Readers weighing how far the technology sector has fallen can also look at our roundup of technology stocks trading near 52-week lows that analysts favor. Through Thursday’s close, the S&P 500 was still up 7.4% for 2026 and the Nasdaq up 4.6%. Friday’s jobs report showed employers added 165,000 jobs in October, against 59,000 expected, and the unemployment rate fell to 4.1%. Traders expect the Federal Reserve to raise interest rates next month, following a hike in September.

Our Methodology

To compile this list, we reviewed analyst ratings announced between November 1 and November 9, as reported by financial news sites. From the stocks that came up, we picked the 10 with the highest price target cuts, and ranked them in descending order of their average upside potential, as of November 9, 2026. We also list each stock’s number of hedge fund holders as of Q2 2026, from our database of 1,006 hedge funds.

At Insider Monkey, we are obsessed with what hedge funds do. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Insider Monkey’s quarterly newsletter strategy selects 14 small-cap and large-cap stocks every quarter and has returned 612% since May 2014, beating its benchmark by 375 percentage points (see more details here).

Analysts Just Slashed Their Price Targets on These 10 Stocks

10. Qualcomm (NASDAQ:QCOM)

Average Upside Potential: 10%

Number of Hedge Fund Holders: 95

Barclays analyst Tom O’Malley kept a Sell rating on Qualcomm on November 5 and cut his price target to $150 from $180 because he projects handset revenue falling 26% in fiscal 2027. TD Cowen, the same day, stayed at Buy but lowered its target to $185 from $200, citing weaker gross margins and supply limits.

The cuts followed Qualcomm’s earnings report. Adjusted earnings per share were $2.17 for the quarter. Total revenue fell about 7% to 8% to roughly $10.4 billion, handset revenue fell 26% to about $5.1 billion, and guidance of $2.15 to $2.35 per share for the December quarter came in below the $2.27 analysts expected. The stock dropped about 9.5% the next day.

Qualcomm makes the Snapdragon chips used in many smartphones, and its newer businesses are growing. Automotive revenue rose 89%, management is targeting $5 billion in data center revenue for fiscal 2027, and an Amazon agreement is worth up to $60 billion over 10 years. We looked at how that growth is running into the handset slump in our analysis of its automotive business and handset earnings.

9. Adobe (NASDAQ:ADBE)

Average Upside Potential: 12%

Number of Hedge Fund Holders: 81

Citi analyst Tyler Radke downgraded Adobe to Sell from Neutral on November 4 and cut his price target to $207 from $250. He sees Wall Street’s fiscal 2027 growth estimates as too high and expects a weaker forecast when Adobe reports fourth-quarter results next month. Industry data, he says, show pressure from AI tools and from small-business customers. He also thinks changes to the creative business under Anil Chakravarthy, who takes over as CEO at the same time, could hold back short-term growth, and Citi thinks the shift toward user growth through AI products like Firefly, instead of price increases, could take about 200 basis points off fiscal 2027 growth in annual recurring revenue.

The shares rose about 1% on the day of the downgrade, but they’re down about 31% so far this year. Adobe makes Photoshop, Illustrator and Acrobat, and the pressure Citi describes comes from AI tools competing with that software.

The other side of the argument is that the stock now looks cheap after that drop. We covered it in our piece on Adobe’s low earnings multiple and whether the AI fear is overdone.

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