AI stocks fall on strong earnings; the hard part is guessing supply, not demand
TiernanRayTech · x · 2026-10-23
- Bloom Energy and Western Digital fell 2% and 4% after outstanding earnings Thursday (up 151% and 106% YTD), as investors "sell the winners."
- Tiernan Ray argues most investors miss that in the AI trade it's supply, not demand, that's genuinely hard to estimate — the better results get, the more people fear it can't last.
- A table of this week's Q3 reports shows the 26 companies averaged a -2% stock reaction despite mostly beating estimates, suggesting a pressure-release "soft landing" for a stretched market.
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