AI Selloff Is a Correction, Not a Bubble Burst, Analysts Say

Comparing drawdowns with the 1996-2001 dot-com era, Aswath Damodaran and others argue the current AI pullback is a mid-cycle correction rather than the end of the bubble, with shallower and faster-recovering declines.

2026-11-09 ~ 2026-11-09 · 2 related posts

• AI era drawdowns are shallower and faster than dot-com: 17.8% vs 22.9% average — pdamodaran · 2026-11-09
• Aswath Damodaran: the current AI drawdown is a correction within the wave, not the end of it — pdamodaran · 2026-11-09