Allbirds stock is already falling after the AI pivot. History suggests investors should proceed with caution

After rising by more than 580% in a single trading session yesterday, shares of Allbirds Inc. (Nasdaq: BIRD) fell this morning in premarket trading, at one point more than 30%. The steep rise and now potential fall in the stock price followed the company’s unexpected announcement that it intends to transition from a sustainable shoemaker to an AI compute infrastructure provider. But while AI-obsessed investors initially cheered the odd move, history suggests the pivot may be a challenging...