---
title: "AI Stocks May Face Significant Correction Early Next Year, Warns Dan Niles"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/286242785.md"
description: "Wall Street investor Dan Niles warns that AI stocks may face a significant correction of 30% to 50% early next year, similar to the 46% decline of the 'Big Seven' U.S. stocks in 2022. While he acknowledges AI as a long-term trend, he cautions that asset prices can decline, particularly in crowded trades where the risk of pullback is increased."
datetime: "2026-05-13T10:32:26.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/286242785.md)
  - [en](https://longbridge.com/en/news/286242785.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/286242785.md)
---

# AI Stocks May Face Significant Correction Early Next Year, Warns Dan Niles

PANews posted on X (formerly Twitter). Wall Street investor Dan Niles has expressed caution regarding the current Agentic AI boom, suggesting that AI stocks could experience a significant cooling off early next year. Niles predicts a potential 30% to 50% correction in AI-related stocks, drawing parallels to the average 46% decline of the 'Big Seven' U.S. stocks in 2022. While AI remains a long-term trend, Niles warns that asset prices are not immune to declines, especially in crowded trades where the risk of pullback is heightened.

### Related Stocks

- [ARKK.US](https://longbridge.com/en/quote/ARKK.US.md)
- [BOTZ.US](https://longbridge.com/en/quote/BOTZ.US.md)
- [WTAI.US](https://longbridge.com/en/quote/WTAI.US.md)
- [ARTY.US](https://longbridge.com/en/quote/ARTY.US.md)

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