AI Stocks Dominate Wednesday’s 10 Worst Performers

3. Celestica Inc. (NYSE:CLS)

Celestica dropped its share prices by 9.97 percent on Wednesday to end at $87.66 apiece as investors repositioned portfolios following bearish remarks on the Artificial Intelligence industry.

CLS, an electronics manufacturer heavily investing in the AI industry, traded lower in line with its peers after Alibaba (NYSE:BABA) Chairman Joe Tsai posted sour comments on the industry’s heavy investments in AI, saying it has become a bubble.

“I think in a way, people are investing ahead of the demand that they’re seeing today, but they are projecting much bigger demand,” he said.

Just recently, the company announced that it achieved revenues of $2.55 billion in the fourth quarter of 2024, showing a 19 percent increase from the $2.14 billion in the fourth quarter of 2023.

Earnings per share during the same period also surged to $1.29 from 77 cents year-on-year.

For this year, CLS posted confidence that it would achieve improved business and earnings performance, as it raised its full-year outlook as a reflection of the strengthening demand in its Connectivity and Clouds Solutions segment.