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Four High-Flying Winners That Might Be Due for a Break

MarketDash Editorial Team
23 days ago
Markets have been whipsawing lately, but the broader indices remain near all-time highs. Individual stocks tell a different story though, with some 2025 winners showing signs of exhaustion. Here are four names worth considering for profit-taking.

The past few weeks have been a wild ride for U.S. markets. We've seen days where everything rockets higher, followed by sessions where it all comes crashing down. But here's the interesting part: despite all this drama, major indices have mostly stayed within 2-3% of their all-time highs. The correction everyone keeps predicting? Still hasn't shown up in the broader market.

The S&P 500 (SPY) has managed to avoid a correction for over six months now, which is impressive. But zoom in on individual stocks and sectors, and it's a different story entirely. Some names have gotten absolutely hammered, and it doesn't matter whether they're megacaps or small-caps. Nobody's been spared.

Take Meta Platforms Inc. (META) for example. The social media giant is in full correction territory, down 20% from its previous all-time high. Meanwhile, those speculative darlings in quantum computing and nuclear energy have taken a beating over the last two weeks.

So is this the beginning of the end for the AI-fueled bull market? Probably not, especially when you consider how much capital is still flooding into data centers and AI infrastructure. But there's an old Wall Street adage worth remembering: nobody ever went broke taking profits. And some of 2025's biggest winners are starting to look pretty tired.

Oracle Corp.: When a $300 Billion Deal Isn't Enough

Few stocks generated more buzz this summer than Oracle Corp. (ORCL). The company struck a partnership with OpenAI worth more than $300 billion over five years, which is an absolutely staggering number. The market's reaction was equally staggering: Oracle shares jumped more than 35% in a single day. For a company with a market cap north of $600 billion, that kind of move is basically unheard of.

But here's where things get interesting. Since the deal was finalized, questions have emerged about the specifics of the arrangement, particularly around the debt Oracle is taking on to provide all that capacity. And then there's the valuation issue. Oracle now trades at 52 times earnings and more than 8 times book value. That's expensive by any measure.

After nearly doubling between April and September, ORCL shares appear to have hit a ceiling, at least for now. The stock has fallen below its 50-day simple moving average, effectively closing the gap from that massive 35% one-day surge when the OpenAI deal was announced. The MACD indicator is flashing bearish momentum, and the 200-day SMA is going to be crucial to watch in the coming sessions. If Oracle breaks below that level, we could see a much steeper decline from here.

Pagaya Technologies: Credit Concerns Cloud the Picture

Pagaya Technologies Ltd. (PGY) is a mid-cap financial firm that provides AI and machine learning systems to banks and asset managers. With a market cap of $1.88 billion and roughly $1 billion in annual sales, it's not a household name, but it's been riding the AI wave nonetheless.

The company reported Q3 earnings on November 10, beating estimates on both the top and bottom lines. Sounds good, right? Well, not so fast. Pagaya also warned about credit impairment charges in that same report. PGY shares initially jumped 12% the day after earnings, but gave back all those gains within the next two sessions. That's not exactly a vote of confidence from the market.

Looking at the technicals, the picture gets even murkier. After using the 50-day SMA as support throughout Q2 and Q3, PGY shares broke through it in September and promptly dropped more than 25% over the following two weeks. The stock is still up more than 150% year-to-date, which is impressive, but this recent breakdown has investors nervous. Like Oracle, the 200-day SMA is shaping up to be a critical battleground between bulls and bears. And here's the kicker: the RSI isn't showing oversold conditions yet, which suggests the next move could be lower.

Robinhood Markets: Taking Profits on a Big Winner

Suggesting people sell Robinhood Markets Inc. (HOOD) might sound crazy. After all, it's been one of 2025's absolute stars, up more than 225% year-to-date. The company has crushed earnings expectations multiple times and announced several exciting catalysts along the way. Robinhood is seeing record revenue from crypto and options trading, and recently jumped into prediction markets through a partnership with Kalshi.

The Q3 numbers were genuinely impressive. Revenue came in at more than $1.27 billion, a 100% year-over-year increase. Earnings per share tripled from $0.17 to $0.61. Those are the kind of results that make investors very happy.

But here's why you might want to consider taking some chips off the table: the short-term picture is getting cloudy. Crypto revenue is a massive component of Robinhood's business, and the major tokens like Bitcoin and Ethereum have been basically flat this year. That's not exactly a supportive backdrop for future growth.

From a technical perspective, warning signs are starting to flash. The stock hugged the 50-day SMA closely for most of 2025, but recently dipped below it for the first time since April. The RSI is also showing downward momentum. For long-term investors, Robinhood is probably still in good shape. But if you're sitting on substantial gains and speculative assets continue to struggle, locking in some profits might be the prudent move.

Oklo Inc.: The Revenue-Free Rocket

The nuclear revolution that the Trump administration has been pushing might not arrive as quickly as everyone hoped. After the One Big Beautiful Bill Act was passed in April, which included substantial subsidies and benefits for nuclear power, companies like Oklo Inc. (OKLO) saw their stock prices absolutely explode. OKLO shares went from $20 to $170 between April and October. That's an 8.5x return in six months.

But there was one crucial element missing from this rally: actual revenue. Oklo specializes in small modular reactors, which theoretically are more efficient because they can be built faster and scaled to fit various applications. The macro story makes sense. Energy demand is growing exponentially as data centers become increasingly power-hungry, and nuclear energy is being prioritized over other clean energy sources. The tailwinds are real.

The problem? Oklo hasn't actually sold or installed any reactors yet. And while the stock was soaring, the company's losses kept mounting.

Oklo reported Q3 earnings on November 11 and missed expectations again, posting a loss of $0.20 per share versus the consensus estimate of $0.13 per share. Even more concerning, the company's most promising projects aren't expected to generate revenue until late 2027 or early 2028. That's a long time to wait for the possibility of profits.

Investors appear to be getting restless. The stock is down 40% in just the last 30 days and recently broke through a key support level at the 50-day SMA. From a technical analysis perspective, things look even worse. A classic head-and-shoulders pattern started forming in early September, and the stock has now broken below the neckline level that typically signals a bearish trend. A bearish MACD crossover confirms this technical damage, and it might be quite a while before Oklo regains the momentum it enjoyed over the summer.

The Bottom Line

None of this means the AI bull market is over or that these companies won't eventually deliver on their promises. But after the massive runs many stocks have had this year, a little profit-taking might not be the worst idea, especially as technical indicators flash warning signals and volatility remains elevated. The adage about not going broke taking profits exists for a reason.

Back to News

Four High-Flying Winners That Might Be Due for a Break

MarketDash Editorial Team
23 days ago
Markets have been whipsawing lately, but the broader indices remain near all-time highs. Individual stocks tell a different story though, with some 2025 winners showing signs of exhaustion. Here are four names worth considering for profit-taking.

The past few weeks have been a wild ride for U.S. markets. We've seen days where everything rockets higher, followed by sessions where it all comes crashing down. But here's the interesting part: despite all this drama, major indices have mostly stayed within 2-3% of their all-time highs. The correction everyone keeps predicting? Still hasn't shown up in the broader market.

The S&P 500 (SPY) has managed to avoid a correction for over six months now, which is impressive. But zoom in on individual stocks and sectors, and it's a different story entirely. Some names have gotten absolutely hammered, and it doesn't matter whether they're megacaps or small-caps. Nobody's been spared.

Take Meta Platforms Inc. (META) for example. The social media giant is in full correction territory, down 20% from its previous all-time high. Meanwhile, those speculative darlings in quantum computing and nuclear energy have taken a beating over the last two weeks.

So is this the beginning of the end for the AI-fueled bull market? Probably not, especially when you consider how much capital is still flooding into data centers and AI infrastructure. But there's an old Wall Street adage worth remembering: nobody ever went broke taking profits. And some of 2025's biggest winners are starting to look pretty tired.

Oracle Corp.: When a $300 Billion Deal Isn't Enough

Few stocks generated more buzz this summer than Oracle Corp. (ORCL). The company struck a partnership with OpenAI worth more than $300 billion over five years, which is an absolutely staggering number. The market's reaction was equally staggering: Oracle shares jumped more than 35% in a single day. For a company with a market cap north of $600 billion, that kind of move is basically unheard of.

But here's where things get interesting. Since the deal was finalized, questions have emerged about the specifics of the arrangement, particularly around the debt Oracle is taking on to provide all that capacity. And then there's the valuation issue. Oracle now trades at 52 times earnings and more than 8 times book value. That's expensive by any measure.

After nearly doubling between April and September, ORCL shares appear to have hit a ceiling, at least for now. The stock has fallen below its 50-day simple moving average, effectively closing the gap from that massive 35% one-day surge when the OpenAI deal was announced. The MACD indicator is flashing bearish momentum, and the 200-day SMA is going to be crucial to watch in the coming sessions. If Oracle breaks below that level, we could see a much steeper decline from here.

Pagaya Technologies: Credit Concerns Cloud the Picture

Pagaya Technologies Ltd. (PGY) is a mid-cap financial firm that provides AI and machine learning systems to banks and asset managers. With a market cap of $1.88 billion and roughly $1 billion in annual sales, it's not a household name, but it's been riding the AI wave nonetheless.

The company reported Q3 earnings on November 10, beating estimates on both the top and bottom lines. Sounds good, right? Well, not so fast. Pagaya also warned about credit impairment charges in that same report. PGY shares initially jumped 12% the day after earnings, but gave back all those gains within the next two sessions. That's not exactly a vote of confidence from the market.

Looking at the technicals, the picture gets even murkier. After using the 50-day SMA as support throughout Q2 and Q3, PGY shares broke through it in September and promptly dropped more than 25% over the following two weeks. The stock is still up more than 150% year-to-date, which is impressive, but this recent breakdown has investors nervous. Like Oracle, the 200-day SMA is shaping up to be a critical battleground between bulls and bears. And here's the kicker: the RSI isn't showing oversold conditions yet, which suggests the next move could be lower.

Robinhood Markets: Taking Profits on a Big Winner

Suggesting people sell Robinhood Markets Inc. (HOOD) might sound crazy. After all, it's been one of 2025's absolute stars, up more than 225% year-to-date. The company has crushed earnings expectations multiple times and announced several exciting catalysts along the way. Robinhood is seeing record revenue from crypto and options trading, and recently jumped into prediction markets through a partnership with Kalshi.

The Q3 numbers were genuinely impressive. Revenue came in at more than $1.27 billion, a 100% year-over-year increase. Earnings per share tripled from $0.17 to $0.61. Those are the kind of results that make investors very happy.

But here's why you might want to consider taking some chips off the table: the short-term picture is getting cloudy. Crypto revenue is a massive component of Robinhood's business, and the major tokens like Bitcoin and Ethereum have been basically flat this year. That's not exactly a supportive backdrop for future growth.

From a technical perspective, warning signs are starting to flash. The stock hugged the 50-day SMA closely for most of 2025, but recently dipped below it for the first time since April. The RSI is also showing downward momentum. For long-term investors, Robinhood is probably still in good shape. But if you're sitting on substantial gains and speculative assets continue to struggle, locking in some profits might be the prudent move.

Oklo Inc.: The Revenue-Free Rocket

The nuclear revolution that the Trump administration has been pushing might not arrive as quickly as everyone hoped. After the One Big Beautiful Bill Act was passed in April, which included substantial subsidies and benefits for nuclear power, companies like Oklo Inc. (OKLO) saw their stock prices absolutely explode. OKLO shares went from $20 to $170 between April and October. That's an 8.5x return in six months.

But there was one crucial element missing from this rally: actual revenue. Oklo specializes in small modular reactors, which theoretically are more efficient because they can be built faster and scaled to fit various applications. The macro story makes sense. Energy demand is growing exponentially as data centers become increasingly power-hungry, and nuclear energy is being prioritized over other clean energy sources. The tailwinds are real.

The problem? Oklo hasn't actually sold or installed any reactors yet. And while the stock was soaring, the company's losses kept mounting.

Oklo reported Q3 earnings on November 11 and missed expectations again, posting a loss of $0.20 per share versus the consensus estimate of $0.13 per share. Even more concerning, the company's most promising projects aren't expected to generate revenue until late 2027 or early 2028. That's a long time to wait for the possibility of profits.

Investors appear to be getting restless. The stock is down 40% in just the last 30 days and recently broke through a key support level at the 50-day SMA. From a technical analysis perspective, things look even worse. A classic head-and-shoulders pattern started forming in early September, and the stock has now broken below the neckline level that typically signals a bearish trend. A bearish MACD crossover confirms this technical damage, and it might be quite a while before Oklo regains the momentum it enjoyed over the summer.

The Bottom Line

None of this means the AI bull market is over or that these companies won't eventually deliver on their promises. But after the massive runs many stocks have had this year, a little profit-taking might not be the worst idea, especially as technical indicators flash warning signals and volatility remains elevated. The adage about not going broke taking profits exists for a reason.