Tech investor Dan Niles predicts AI stocks will crash by 30% to 50% in 2027

Dan Niles warned that AI stocks could tumble as much as 50% after the boom peaks in early 2027, framing agentic AI as the catalyst for the final leg of the rally and the subsequent reset. The call is bearish for AI-related equities and reflects a risk-off view on sector sentiment, but it is forward-looking commentary rather than a near-term fundamental event.

Analysis

Dan Niles warned that AI stocks could tumble as much as 50% after the boom peaks in early 2027, framing agentic AI as the catalyst for the final leg of the rally and the subsequent reset. The call is bearish for AI-related equities and reflects a risk-off view on sector sentiment, but it is forward-looking commentary rather than a near-term fundamental event.