Why These 15 Data Center Stocks Are Plunging In 2025

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1. ZJK Industrial Co Ltd (NASDAQ:ZJK)

Number of Hedge Fund Holders In Q4 2024: 1

ZJK Industrial Co Ltd (NASDAQ:ZJK) makes precision fasteners, structural parts, and other components that are used in data centers.

The stock is down significantly so far in 2025 due to the company trading at expensive levels as the broader market turned bearish on data center stocks.

The company reported solid revenue growth in 2024, but it still faces supply chain ships. ZJK is also reliant on major clients like Nvidia for revenue growth.

On top of that, Jim Cramer said that the stock had flat revenue growth on CNBC’s Mad Money. The company later corrected this claim made by Cramer, but Cramer’s reach is far more than that of ZJK’s investor relations team, and many still have the wrong idea about the company’s growth metrics.

ZJK stock is down 48.34% year-to-date.

While we acknowledge the potential of ZJK 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 more promising than ZJK but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires

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