Stock Markets February 19, 2026

Wedbush Identifies 10 Potential Triggers to Halt Tech Slide and Ease AI 'Ghost Trade' Overhang

Analyst Dan Ives lays out specific corporate and market developments that could restart investor appetite for technology and AI-driven themes

By Leila Farooq CRM AAPL CRWD MSFT NOW
Wedbush Identifies 10 Potential Triggers to Halt Tech Slide and Ease AI 'Ghost Trade' Overhang
CRM AAPL CRWD MSFT NOW

Wedbush technology analyst Dan Ives outlined 10 concrete developments that he says could reverse the recent weakness in the technology sector and address what he calls the AI "ghost trade" overhang. Drawing on 25 years of Wall Street experience and historical market misreads, Ives highlighted both industry examples and specific corporate milestones - from large funding rounds to early monetization signals at major software and cybersecurity firms - that he views as capable of restarting the AI trade.

Key Points

  • Dan Ives of Wedbush identifies 10 specific developments that could reverse the tech sector decline and address the AI "ghost trade" overhang - impacting sectors such as software, cybersecurity, semiconductors, cloud and digital advertising.
  • Examples from Ives’ experience include Microsoft’s mid-2000s cybersecurity expansion and Nvidia’s evolution from a gaming-chip vendor to a central player in AI, which he uses to illustrate prior market misreads.
  • The 10 catalysts span funding rounds, chip demand confirmations, early AI monetization signals in earnings, major corporate product rollouts, and initial enterprise deployments of AI models that could surface scaling and security issues.

Wedbush technology analyst Dan Ives has compiled a list of 10 developments he believes could arrest the recent downturn in the technology sector and alleviate the so-called AI "ghost trade" overhang. With 25 years of experience on Wall Street, Ives framed his case by pointing to past episodes in which market narratives proved overstated.

Ives cited two historical examples to illustrate market overreactions. He recalled forecasts from the mid-2000s suggesting Microsoft’s move into cybersecurity would wipe out the industry, yet the RSA Conference in San Francisco grew from roughly 3,000 annual attendees to about 40,000. He also noted that a decade ago many expected Intel to dominate the chip landscape while Nvidia was viewed narrowly as a supplier of gaming chips - a view that shifted as Nvidia became central to the AI era.

Against that backdrop, Ives described the present narrative - that AI threatens every industry and that software is the primary at-risk sector - as echoing prior overreactions. He observed that capital expenditure is approaching $700 billion this year, yet concerns linger that AI startups could disrupt large, established technology companies.


To counter the prevailing bearish narrative, Ives listed 10 specific developments that could reignite the tech AI trade. These are:

  • OpenAI completing a $100 billion funding round.
  • Nvidia CEO Jensen Huang reiterating strong AI chip demand on the next week’s conference call and the company exceeding expectations.
  • Oracle achieving early success in its $45 billion to $50 billion capital raise.
  • Salesforce (NYSE:CRM) demonstrating AI monetization in its earnings and guidance.
  • The start of software mergers and acquisitions involving larger public companies.
  • Apple (NASDAQ:AAPL) releasing the first phase of its Siri AI, initiating the consumer AI chapter.
  • CrowdStrike (NASDAQ:CRWD) becoming the first cybersecurity company to meaningfully monetize AI in its next earnings report.
  • AI monetization appearing in March results from Microsoft (NASDAQ:MSFT) and ServiceNow (NYSE:NOW).
  • Meta (NASDAQ:META) and Google ramping up digital advertising AI monetization in the first half of 2026.
  • Enterprises beginning to implement Claude and encountering scaling and security issues.

Ives presented these items as potential catalytic events that, if realized, could change investor sentiment and restart demand for AI-related technology exposures. Several of the items relate to early monetization signals - from software vendors and cybersecurity firms - while others focus on large funding events and chip demand confirmations that would directly affect semiconductor sentiment.

The list mixes company-specific milestones (for example, earnings or product launches) with broader market developments such as a wave of software M&A and large-scale funding rounds. It also flags operational challenges - specifically the potential scaling and security problems enterprises might encounter when deploying models like Claude - as part of the near-term landscape.


While Ives frames these developments as catalysts, the outcomes depend on whether the named events occur and whether they deliver the monetization or demand signals investors expect. The analyst’s view draws on historical examples of market mispricing and emphasizes concrete, observable milestones that could alter the narrative around AI and technology valuations.

Risks

  • Persistent concern that AI-focused startups could disrupt established technology companies - a risk affecting large-cap tech and software firms.
  • Potential scaling and security problems as enterprises begin implementing Claude - a risk primarily for enterprise IT, cloud, and cybersecurity sectors.
  • Uncertainty whether corporate milestones (earnings-driven AI monetization, product launches, or capital raises) will materialize or meet investor expectations - impacting semiconductors, software vendors, and advertising platforms.

More from Stock Markets

WarrenAI Ranks Five Solar Stocks Poised for Diverse Risk-Reward Profiles in 2026 Feb 20, 2026 U.S. Equities Close Higher as Consumer Services, Tech and Telecoms Lead Gains Feb 20, 2026 Electra Battery Materials Upsizes ATM to $25M; Shares Slip After Hours Feb 20, 2026 Mexican equities close higher as industrial and consumer sectors lead gains Feb 20, 2026 Toronto Market Hits Record as Materials and Tech Drive Gains Feb 20, 2026