CONSENSUS EARNINGS GROWTH FOR AI STOCKS TO PLUNGE SHARPLY : REPORT

What happened: A Jefferies report says consensus earnings growth for AI-related stocks in the MSCI AC World Index is expected to fall sharply through 2028, as chipmakers saw sharp losses this week. Key numbers: Growth near 100 percent in 2026, 30 percent in 2027, about 22 percent in 2028. Why it matters: The report says it has become time to diversify beyond AI, citing valuation and debt concerns, while keeping infrastructure suppliers but avoiding companies directly spending on AI capex. It says much of the easy money in semiconductor stocks has been made.

A Jefferies report says consensus earnings growth for AI-related stocks in the MSCI AC World Index is expected to fall sharply through 2028, as chipmakers saw sharp losses this week.

The report says it has become time to diversify beyond AI, citing valuation and debt concerns, while keeping infrastructure suppliers but avoiding companies directly spending on AI capex. It says much of the easy money in semiconductor stocks has been made.