Asia tech stocks extend sell-off with SoftBank down over 7% as investors sour on AI names
Concerns over stretched AI-linked valuations accelerated across Asia on Monday, with SoftBank tumbling more than 7% in Tokyo and South Korea's KOSPI starting the week with a sharp drop. The selling carried into U.S. tech-heavy futures.
SoftBank Group fell more than 7% in Tokyo on Monday, CNBC reported, while major chipmakers including Samsung Electronics and SK Hynix also came under pressure. South Korea's KOSPI opened the day lower, and tech-heavy regional benchmarks broadly retreated.
The pullback came after a powerful year-long rally in AI-supply-chain names pushed earnings multiples above historical norms, with several Nvidia suppliers striking a more cautious tone in recent outlook commentary. Foreign investors have logged significant outflows from the KOSPI year-to-date.
U.S. equity futures mirrored the move at the Asia open, with chip and hyperscaler names leading the pressure. Analysts said upcoming results from Nvidia and the largest U.S. tech companies will be a key checkpoint for investors weighing AI capital-spending cycles against capital efficiency. This is not investment advice.
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