Artificial intelligence (AI) is almost like King Midas. Nearly everything it touches turns to gold. Just look at the stock charts of many of the leaders in AI chips and software.

But just as the story of the fabled king took a turn for the worse, some of the stocks that have been gold mines for investors just might be headed for a rough patch. These high-flying AI stocks could sink 20% or more over the next 12 months, according to Wall Street.

Arm Holdings (NASDAQ: ARM) shares have more than doubled over the last 12 months. Most of the huge gain came in February after the chipmaker topped analysts' fiscal 2024 third-quarter revenue and earnings estimates and provided upbeat sales guidance. 

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Source Fool.com