Nvidia Shares Dip While AMD Posts Strong Profits

Global tech markets recently experienced a significant shake-up, with AI and semiconductor stocks shedding approximately $500 billion in market value on November 5. This widespread selloff, driven by investor concerns over potentially inflated "AI bubble" valuations, saw major players like SoftBank plunge over 14%, losing about $32 billion. Other prominent companies such as Nvidia, Palantir, Samsung Electronics, TSMC, Advantest, SK Hynix, and AMD also recorded notable drops. Famed investor Michael Burry, known for his accurate prediction of the 2008 financial crisis, notably placed bearish bets totaling $1.1 billion against AI-related stocks Nvidia and Palantir, further fueling market caution. While some analysts compare the current climate to the dot-com bubble, others view it as a necessary short-term market correction.Despite these market jitters, the underlying demand for artificial intelligence continues to drive substantial growth and strategic investments across various sectors. Amazon, for instance, is demonstrating robust expansion, largely powered by its AI integration and the strength of Amazon Web Services (AWS). AWS, with an annualized revenue of $132 billion, is rapidly expanding its power capacity to support AI infrastructure, and Amazon's AI-powered shopping assistant, Rufus, has proven highly effective, making users 60% more likely to make a purchase.AMD stands out with stronger-than-expected profits and revenue last quarter, reporting adjusted earnings of $1.20 per share, up from $0.92 a year ago. This success is attributed to high AI demand and a strategic partnership with OpenAI, providing 6 gigawatts of GPUs for AI projects. Analysts at BofA Securities project AMD's earnings per share could reach $10 or $11 by 2027. Similarly, Seagate Technology saw its stock climb 11% as demand for its memory products surged due to the build-out of AI infrastructure.Beyond hardware, companies are leveraging AI for operational enhancements and new services. Naver achieved record quarterly sales of KRW 3.1391 trillion and operating profit of KRW 570.6 billion, crediting its "On-Service AI" strategy across search, advertising, and shopping. The company plans to invest over 1 trillion won annually in GPUs and launch "AI All-in" next year. SKYX Platforms is also set to launch new AI-native software across its 60 e-commerce websites on November 5, 2025, anticipating a 30% increase in conversion rates and sales. Even SES AI, a leader in AI-enhanced batteries, released its Q3 2025 financial results, affirming its full-year guidance.However, not all AI-related ventures are seeing immediate positive market reactions. Pinterest shares fell 21% despite launching its "Pinterest Assistant" AI shopping tool, as the company issued weaker-than-expected financial guidance and warned of slower ad spending. Meanwhile, institutional investors like Brown Wealth Management continue to show conviction in the AI sector, having purchased approximately $4.35 million worth of Global X Artificial Intelligence & Technology ETF (AIQ) shares, increasing their total holding to $4.99 million. AIQ, which tracks companies in AI and big data, includes top holdings such as Tesla, Broadcom, Alphabet (Google), and Oracle, and has seen its shares rise 45% over the past year. For investors looking to diversify, options like the Schwab Fundamental U.S. Large Company ETF (FNDX) offer exposure to large and mid-cap US stocks while avoiding highly priced growth companies like Nvidia and Tesla.

Key Takeaways

• Global tech stocks, including Nvidia, Palantir, Amazon, Samsung, TSMC, and AMD, experienced a significant selloff on November 5, losing approximately $500 billion in market value due to "AI bubble" concerns.
• Michael Burry, known for predicting the 2008 crisis, placed bearish bets of $1.1 billion against Nvidia and Palantir, contributing to market caution.
• Amazon's growth is strongly driven by AI integration and AWS, which has an annualized revenue of $132 billion and is expanding its AI infrastructure. Its AI-powered Rufus assistant increases purchase likelihood by 60%.
• AMD reported stronger-than-expected profits, with adjusted earnings of $1.20 per share, fueled by high AI demand and a partnership with OpenAI providing 6 gigawatts of GPUs.
• Naver achieved record quarterly sales of KRW 3.1391 trillion and operating profit of KRW 570.6 billion, attributing success to its "On-Service AI" strategy and planning over 1 trillion won annually for GPUs.
• SKYX Platforms is launching new AI-native software on November 5, 2025, across 60 e-commerce sites, projected to boost conversion rates and sales by 30%.
• Seagate Technology's stock climbed 11% due to surging demand for its memory products, essential for the build-out of AI infrastructure.
• Pinterest shares dropped 21% despite launching its "Pinterest Assistant" AI shopping tool, due to weaker financial guidance and warnings of slower ad spending.
• Brown Wealth Management increased its holding in the Global X Artificial Intelligence & Technology ETF (AIQ) to $4.99 million, with AIQ shares up 45% over the past year and top holdings including Tesla, Alphabet (Google), and Oracle.
• Investors can diversify beyond heavily invested AI stocks like Nvidia and Tesla using ETFs such as the Schwab Fundamental U.S. Large Company ETF (FNDX), which focuses on fundamental metrics.

Global Tech Stocks Drop Amid AI Bubble Concerns

Tech company shares across Asia and the US fell sharply on November 5 due to worries about an "AI bubble." Investors are questioning the high valuations of firms linked to artificial intelligence. Japan's SoftBank plunged over 10%, while Amazon, Nvidia, Samsung, and TSMC also saw drops. Financial analysts like Farhan Badami believe this correction may continue as some AI company spending is not justified by current earnings. Michael Burry, known for predicting the 2008 crisis, bet $1.1 billion on a fall in prices for AI-related stocks Nvidia and Palantir. Vincent Fernando from Zero One described SoftBank's surge as a "double-edged sword" making it vulnerable to pullbacks.

SoftBank and Asian AI Stocks Fall on Valuation Worries

SoftBank shares plunged over 14% on November 5, losing about $32 billion in market value, as Asian AI-linked stocks slid due to valuation concerns. Other major tech companies like Advantest, Samsung Electronics, SK Hynix, and TSMC also saw significant drops. This follows a sell-off in US tech stocks, including Palantir and Nvidia, which are facing scrutiny over high valuations. Michael Burry, famed for predicting the 2008 financial crisis, placed bearish bets against Palantir and Nvidia. Some experts compare the current AI frenzy to the dot-com bubble, but others like Dan Ives believe this is a short-term market correction.

Three ETFs Help Investors Diversify Beyond AI Stocks

Bryan Armour suggests three ETFs for investors to diversify their portfolios beyond heavily invested AI stocks like Nvidia. The Schwab Fundamental U.S. Large Company ETF FNDX focuses on large and mid-cap US stocks based on sales, cash flows, and dividends, avoiding highly priced growth companies like Nvidia and Tesla. The Dimensional US Targeted Value ETF DFAT invests in cheaper mid and small-cap US stocks, spreading investments across 1,400 companies. The JPMorgan International Research Enhanced Equity ETF JIRE invests in international stocks and uses active research to find companies trading at enticing prices, outperforming its benchmark since 2022.

Brown Wealth Management Buys Millions in AIQ ETF

Brown Wealth Management LLC bought approximately $4.35 million worth of Global X Artificial Intelligence & Technology ETF AIQ shares during the fiscal third quarter ending September 30, 2025. This purchase increased their holding to 101,103 shares, valued at $4.99 million. AIQ, which tracks companies in artificial intelligence and big data, has performed strongly, with shares up 45% over the past year. Its year-to-date return is 34%, outperforming the S&P 500's 16% gain. This transaction suggests institutional investors continue to show conviction in the ongoing AI revolution, with top holdings including Tesla, Broadcom, Alphabet, and Oracle.

AMD Profits Soar with AI Demand and Key Partnerships

AMD reported stronger profits and revenue last quarter, exceeding Wall Street's expectations due to high demand for AI. The company's adjusted earnings reached $1.20 per share, an increase from $0.92 last year. AMD's strategic partnership with OpenAI, providing 6 gigawatts of GPUs for AI projects, positions it as a key player in the AI hardware race. Analysts at BofA Securities believe this collaboration could significantly boost AMD's earnings per share to $10 or $11 by 2027. Despite broader tech sector concerns, AMD's solid results highlight the crucial role of advanced processors for cloud, gaming, and AI workloads.

Naver Achieves Record Sales and Profits with AI Integration

Naver achieved its highest quarterly sales and operating profit, reaching KRW 3.1391 trillion in sales and KRW 570.6 billion in operating profit for the third quarter. The company attributes this success to its "On-Service AI" strategy, which applies AI across search, advertising, and shopping. AI-enhanced search platforms saw sales of KRW 1.6 trillion, and commerce sales jumped 35.9% to KRW 985.5 billion due to personalized recommendations. Naver plans to invest over 1 trillion won annually in GPUs and launch "AI All-in" next year, introducing AI agents for shopping and other services. CEO Soo Yeon Choi emphasized strengthening core business competitiveness based on AI and expanding globally.

AI Stocks Lose $500 Billion as Investors Question Valuations

AI and semiconductor stocks experienced a global selloff, losing approximately $500 billion in market value. Major players like Samsung Electronics, SK Hynix, Advantest, TSMC, Nvidia, Palantir, and Advanced Micro Devices saw significant drops. Investors are questioning whether AI stock valuations have become too high, especially after some companies' outlooks fell short of market hopes. Famed investor Michael Burry also placed bearish bets against Palantir and Nvidia, adding to market caution. However, some long-term investors like Vikas Pershad suggest this pullback could be a necessary breather, as hyperscalers like Amazon and Meta Platforms continue to pour billions into data centers.

SKYX Platforms Launches AI Software for 30 Percent Sales Boost

SKYX Platforms announced on November 5, 2025, it will launch new AI-native software across its 60 e-commerce websites. This software, covering lighting, home décor, and smart home technologies, is expected to increase website conversion rates and sales by 30%. The platform aims to support both business-to-business and business-to-consumer growth, strengthening its builder and professional sales channels. Led by Belami CEO Huey Long, SKYX plans to use this unified AI platform to capture more market share in large, fragmented home improvement markets. The company holds over 100 pending and issued patents related to its innovative technology.

Pinterest Shares Drop Despite New AI Shopping Tool

Pinterest shares fell 21% on Wednesday after the company gave weaker-than-expected financial guidance and warned of slower ad spending. This drop occurred despite the recent launch of "Pinterest Assistant," an AI shopping tool that provides product recommendations. The company missed profit expectations, earning 38 cents per share instead of the projected 42 cents, though revenue met estimates at $1.05 billion. Pinterest's CFO Julia Donnelly noted moderating ad spend in the US and Canada due to tariffs affecting larger retailers. The company's fourth-quarter revenue forecast also fell below Wall Street estimates, erasing its stock gains for the year.

SES AI Announces Third Quarter 2025 Financial Results

SES AI Corporation, a global leader in AI-enhanced high-performance Li-Metal and Li-ion batteries, announced its business results for the third quarter ending September 30, 2025. The company, based in Woburn, Massachusetts, released these results on November 5, 2025. SES AI also affirmed its previously issued financial guidance for the full year ending December 31, 2025. This report provides an update on the company's financial performance and outlook.

Amazon Shows Strong Growth Driven by AI and AWS

Amazon is showing strong growth, largely fueled by its AI integration and the success of Amazon Web Services AWS. AWS, the most profitable part of Amazon, has an annualized revenue of $132 billion and is rapidly expanding its power capacity for AI infrastructure. The company's AI-powered shopping assistant, Rufus, is driving significant sales, with users 60% more likely to make a purchase. Amazon's retail operations also saw strong revenue increases in both North America and international segments. Analysts give Amazon a "Strong Buy" rating, expecting continued growth with an average target price of $269.14.

Seagate Stock Rises as AI Demand Boosts Memory Sales

Seagate Technology's stock climbed 11% on Tuesday, leading other memory makers higher. This increase comes as demand for Seagate's products is surging due to the ongoing build-out of artificial intelligence infrastructure. The company, traded on NASDAQ under STX, is benefiting from the growing need for memory solutions in the AI sector. This strong performance highlights Seagate's key role in supporting the expanding AI industry.

Sources

• Tech shares fall over AI bubble fears
• SoftBank shares plunge 10% as Asian AI-linked stocks slide on valuation jitters
• 3 ETFs for Diversifying Beyond AI
• Artificial Intelligence (AI) ETF Shines in Portfolio Expansion, According to Recent Filing
• AMD’s AI Partnerships And Profits Rise Above Wall Street Estimates
• Naver, which has artificial intelligence (AI) wings, hit its highest quarterly sales and operating p..
• AI Stocks Just Lost $500 Billion--Is the Party Over for Nvidia and Friends?
• SKYX Platforms (NASDAQ: SKYX) to launch AI e-commerce software, 30% lift across 60 sites
• Pinterest shares sink despite AI rollout
• SES AI Reports Third Quarter 2025 Financial Results
• 3 Reasons Why You Should Buy This Amazing AI Stock
• Seagate leads memory makers higher as demand soars on AI infrastructure (STX:NASDAQ)