Wall Street lost roughly $2.5 trillion in Nasdaq market value on Thursday as investors dumped AI stocks. Yet some of America’s biggest companies now look potentially attractive for long-term investors.
Fears of tighter AI regulation and slowing data-center construction triggered the selloff. Friday brought a modest recovery, but the Nasdaq still recorded its fourth consecutive weekly decline.
“We still think AI is the dominant theme in this bull market,” Keith Lerner, chief investment officer at Truist Advisory Services, told Reuters.
Six stocks stand out based on their earnings, valuations, and Wall Street forecasts.
Which 6 US Stocks Could Recover After the Crash?
1. NVIDIA (NVDA)
The chipmaker plunged 9.3% Thursday, but its business continues expanding rapidly. Quarterly revenue doubled to $96.2 billion, and analysts see roughly 75% upside.
Trading at 15.4 times forward earnings, Nvidia looks increasingly affordable. However, shares remain below their 200-day moving average. November 17 earnings could determine the next direction.
2. Vistra (VST)
The energy producer gained 10.5% Friday after reporting a 50% increase in quarterly adjusted EBITDA. Its expanding electricity business benefits from data-center demand.
Analysts project 63% upside, although possible restrictions on AI infrastructure remain a risk.
3. Amazon (AMZN)
Amazon’s cloud business grew 39.3% last quarter, while its operating margin reached a record 13.9%. Its diversified operations offer some protection from AI-sector volatility. However, heavy infrastructure investment pushed annual free cash flow negative.
4. Alphabet (GOOGL)
Google’s parent reported 25% revenue growth, with cloud sales more than doubling. Its forward earnings multiple of 20.7 looks attractive relative to that growth.
The concern is negative quarterly free cash flow, driven by aggressive capital spending.
5. Uber (UBER)
Uber offers an alternative to AI-heavy investments. Quarterly bookings grew 20%, while free cash flow reached $2.5 billion. Analysts see nearly 47% upside, although weaker earnings guidance remains a concern.
6. Netflix (NFLX)
Netflix trades near its yearly lows despite 12% quarterly revenue growth and improving profitability. Its 17.7 forward earnings multiple looks relatively inexpensive.
However, slower advertising growth makes its recovery less certain.
All six retain bullish Wall Street consensus ratings. Still, the broader market remains technically weak. For investors, the next test is whether earnings growth can support these valuations as the AI selloff continues to unfold.
