Trucking and real estate stocks are the latest victims of AI fears

Investors were on edge in the last session of the week after concerns over AI hit the stock market again, triggering a fresh decline, this time with the logistics and real estate sectors taking a hit.

Here’s how some of the hardest hit stocks fared on Friday.

On Thursday, logistics stocks became the latest victim of AI fear trading, thanks to a new tool from AI company Algorithm Holdings. The tool, called SemiCab, touts itself as “the world’s most well-coordinated transportation platform.”

Major logistics company CH Robinson and RXO They each fell as much as 20% on Thursday, but both rebounded 2% on Friday.

On Thursday, commercial real estate companies entered their second day of selling. CBRE It was one of the hardest hit stocks, with losses widening through Friday, trading 1% lower.

Software stocks, which were at the center of a historic selloff just last week, were also caught up in Thursday’s decline, but were mixed Friday morning.

Palantir Technologies While the stock fell slightly, extending the previous day’s losses, autodesk and sales force Both added 1%.

The iShares Expanded High-Tech Software Sector ETF (IGV) posted a loss of about 3% on Thursday, but was last trading roughly flat. But the fund’s stock price, which entered a bear market last month, is now down about 23% year-to-date.

The Magnificent Seven tech stocks all closed in negative territory on Thursday and were all down on Friday morning. meta It led losses among its cohort with a 2% decline, but Nvidia and alphabet This was followed by a 1% decline.

“While the comprehensive impact on these industries and individuals remains to be seen, we see the monetization potential of AI as validated,” UBS strategists said in a note Friday morning. “Recent advances also highlight the transformative nature of AI, making it a key component of investors’ portfolios.”

They added that focusing solely on the US information technology sector is “unlikely to fully capture the direct beneficiaries of AI” and recommended investors diversify across sectors and geographies.

Appearing on CNBC’s “Squawk Box Europe” on Friday, Dan Ives, global head of technology research at Wedbush Securities, said that while some software names will fall victim to the rise of AI, investors should not discount the sector as a whole.

“teeth adobe Potential loser? What is the software name like? UiPathsome of the names are pure play? Yes, he said. “But Salesforce ServiceNow?No, I think (they) will be a central part of the AI ​​revolution, use cases. ”

Ives argued that Wall Street has miscalculated the “ripple effects that are going to be felt across technology” because of AI.

“I think what we’re seeing here is just massive disruption,” he said of software sales. “In my career so far, I would say this is the most disconnected call I’ve ever seen. They’re basically treating this sector like it’s a structurally bankrupt sector.”

—CNBC’s Sarah Ming, Michelle Fox and Sean Conlon contributed to this report.