High-growth tech names linked to AI, quantum computing, and new-energy sectors have taken a hard hit over the past month. Names like CoreWeave (CRWV), D-Wave Quantum (QBTS), Rigetti Computing (RGTI), IonQ (IONQ), and SoundHound AI (SOUN) have each fallen around 30% from their mid-October highs. That’s a steep drop for a group that had nearly tripled from July through October.
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So what changed?
Investors Move Back to Earnings Strength
The selloff in these stocks picked up once Q3 earnings season began, with investors choosing companies that produce solid profit and cash flow rather than early-stage growth stories.
FactSet data showed that 82% of S&P 500 (SPX) companies beat earnings expectations, and 77% topped revenue estimates. With big companies posting solid numbers, investors questioned whether to keep putting money into firms with thin revenue and weak margins.
This shift also appeared in the iShares MSCI USA Value Factor ETF (VLUE), which gained about 6%, beating the S&P 500 as money flowed into companies with stronger profit and cash flow.
Quantum Stocks Face Policy Confusion
Quantum computing stocks, including D-Wave Quantum, IONQ, and Rigetti, fell even harder after hopes for new U.S. government support faded.
Earlier reports suggested that federal agencies might take stakes in key quantum firms, but those stories were later challenged and then disappeared. With no clear backing in place, traders pulled away from the group.
AI Stocks Now Face New Pressure
AI-linked names such as CoreWeave (CRWV) and SoundHound AI (SOUN) have also come under pressure. Both stocks had strong runs earlier this year as excitement grew around new AI models and rising demand for computing power.
CoreWeave, which jumped earlier on hopes of fast AI growth, has pulled back as investors wait for clearer signs of steady revenue. SoundHound AI has also dropped, as the market looks for proof that its early voice-AI progress can turn into consistent growth.
With these stocks under pressure, the next step is to compare their outlook. Let’s see how they perform using the TipRanks Stock Comparison Tool:
