Welcome back to the BBAE Blog, your trusted source for the latest investment insights and analyses from the BBAE team. This week, we’re excited to share some highlights that will keep you informed and ahead of the market. Don’t forget, some of our most valuable insights are available exclusively in the BBAE Pro app—download it now to unlock full access!
- Software Stocks Tumble Amid Generative AI Fears
- Pershing Square: Meta Platforms ($META) Investment Case
- Trending Tickers: $PLSE Breakthrough, $NVO–$HIMS GLP-1 Fight, $NKTR Trial Results
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Software Stocks Tumble Amid Generative AI Fears
Software stocks are in freefall. Over the past 12 months, companies like Figma, Duolingo, HubSpot, and others have seen their valuations plunge as investors fear generative AI will upend their business models. Some have lost over half their market value, others are down 80-90% from their highs, with the sell-off accelerating sharply into early 2026. The picture is not uniform though. For some of these companies, the fears remain largely forward-looking, with business fundamentals still holding up even as stock prices crater. For others like Chegg, AI competition has already delivered real damage to revenue and user growth. We break down the stocks hit hardest by AI fears, examine their current business performance, and look at how each company is responding to the threat. Click here to read full article.
Pershing Square: Meta Platforms ($META) Investment Case
Bill Ackman’s Pershing Square has disclosed a new investment in Meta Platforms ($META), initiated in November 2025 at approximately 21x forward earnings, which Ackman views as a deeply discounted valuation for a dominant digital advertising business with over 3.5 billion daily users. Ackman believes market concerns around AI spending overlook Meta’s position as one of the clearest beneficiaries of AI integration, with AI-driven improvements already enhancing user engagement and ad effectiveness while the company’s strong balance sheet enables investments that could unlock significant new revenue streams and use cases. Read the full article here.
Trending Tickers: $PLSE Breakthrough, $NVO–$HIMS GLP-1 Fight, $NKTR Trial Results
This week, several stocks attracted attention due to major developments. Here’s a breakdown:
- Pulse Biosciences ($PLSE): Pulse reported strong early clinical results for its nPulse heart catheter in atrial fibrillation, showing high success rates at 6 and 12 months with few serious safety issues. According to the company, the data supports moving into larger trials, driving a sharp rally in the stock.
- Novo Nordisk ($NVO) & Hims & Hers ($HIMS): Novo Nordisk filed a lawsuit against Hims & Hers, accusing it of selling unapproved compounded versions of semaglutide. Novo claims these products pose safety risks and argues FDA-approved supply is now sufficient, putting pressure on Hims’ GLP-1 business model.
- Nektar Therapeutics ($NKTR): Nektar shared one-year data showing its eczema drug rezpegaldesleukin delivered durable results, with patients maintaining or improving skin clearance even on monthly or quarterly dosing. The company said the data supports advancing the drug into Phase 3 trials.
Read the full Weekly Highlights article here.
This article is for informational purposes only and is neither investment advice nor a solicitation to buy or sell securities. All investment involves inherent risks, including the total loss of principal, and past performance is not a guarantee of future results. Always conduct thorough research or consult with a financial expert before making any investment decisions. BBAE has no position in any investment mentioned.
