Goldman Sachs issues a warning to AI stock investors | AI News Digest
Goldman Sachs has issued a warning regarding the future of AI stocks, indicating that investor enthusiasm may be waning. The firm suggests that while AI investments are expected to evolve, there is a need for tangible evidence of earnings impact for investors to fully embrace these stocks. Recent performance of companies like Nvidia and Salesforce has raised concerns about inflated valuations in the AI sector. Goldman Sachs strategist Ryan Hammond noted that current equity prices may reflect overly optimistic expectations. Despite these concerns, Hammond believes valuations are not in bubble territory, which could mitigate potential risks if earnings growth falls short.
