Top 3 NASDAQ Stocks With the Highest Correction Risk in 2026

As optimism around AI and tech earnings propels NASDAQ valuations to extended levels, risks of repricing are rising as well. Elevated multiples, concentrated returns and lofty growth assumptions have pushed several leading names well beyond historical norms, making them particularly sensitive to even modest earnings disappointments or shifts in monetary policy. This analysis highlights three NASDAQ-listed stocks where market price appears most vulnerable to a correction if investor sentiment unwinds.

At the start of 2026, the market is teetering between two directions. On the one hand, the technology sector remains supported by long-term trends such as digitization, artificial intelligence, automation and the growth of data infrastructure. On the other, however, the gap between companies' fundamental growth and valuation growth is widening. While the revenues and profits of many companies are growing in the single digits or lower tens of percentages, share prices have shifted to levels…

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The information in this article is for educational purposes only and does not serve as investment advice. The authors present only facts known to them and do not draw any conclusions or recommendations for readers. Read our Terms and Conditions
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