From Oracle to Broadcom, the Concerns About Artificial Intelligence Stocks Are Starting to Pile Up

Concerns about artificial intelligence (AI) stocks and their monster valuations aren't exactly new, but the market is now being less coy about it. Following a big multiyear run for the sector, it appears that some investors are setting a high bar for AI stocks. No longer are announcements about higher capital expenditures for AI infrastructure build-out purely driving stocks higher, as investors start to question the sustainability of it all. From Oracle (NYSE: ORCL) to Broadcom (NASDAQ: AVGO), the concerns about AI stocks are starting to pile up.Concerns over AI stocks have been mounting, including high valuations, excessive capital expenditures, and whether the U.S. and the world truly have the resources to support all of the AI demand, considering the need for data centers, the power needed to run these data centers, and other necessary resources, such as water to provide the liquid cooling solutions for AI chips.Image source: Getty Images.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool