Why Aurora Innovation Inc. (AUR) Crashed On Wednesday?

We recently published a list of AI Stocks Dominate Wednesday’s 10 Worst Performers. In this article, we are going to take a look at where Aurora Innovation Inc. (NASDAQ:AUR) stands against other AI stocks that dominate Wednesday’s worst performers.

Wall Street’s major indices ended in the negative territory on Wednesday as investors parked funds to minimize risks from the resumption of trade war among the world’s largest economies, with a fresh round of tariffs scheduled to be implemented next week.

The tech-heavy Nasdaq fell the hardest, down 2.04 percent, followed by the S&P 500, down 1.12 percent. The Dow Jones declined by 0.31 percent.

According to President Donald Trump, all vehicles made outside of the US would be slapped with a 25-percent tariff.

The broader market downturn spilled over into 10 companies—predominantly AI stocks—further dampened by a cautious outlook on the industry. In this article, we listed Wednesday’s 10 worst performers and detailed the reasons behind their drop.

To come up with the list, we considered only the stocks with $2 billion market capitalization and $5 million in trading volume.

A closeup of a self-driving hardware unit inside the dashboard of a passenger vehicle.

Aurora Innovation Inc. (NASDAQ:AUR)

Aurora Innovation declined by 9.07 percent on Wednesday to end at $7.12 apiece as investors repositioned portfolios ahead of the launch of its driverless trucks, allowing its vehicles to operate without a driver even in harsh weather.

In a statement, AUR said it is now in the final stages of launching its commercial self-driving trucking service in Texas scheduled for next month.

It released a Driverless Safety Report, which explains how AUR’s safety approach affects every part of its organization and how best practices from other safety-critical industries inform internal processes.

The autonomous trucks are expected to begin operating on public roads in Texas, New Mexico, and Arizona this year, adhering to speed limits ranging between 25 miles and 75 miles per hour.

It added that the trucks will function day and night, in suburban and urban areas, dense traffic, and in highway construction zones with cones and barriers.

Overall, AUR ranks 5th on our list of AI stocks that dominate Wednesday’s worst performers. While we acknowledge the potential of AUR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as AUR but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.