Since major advancements in AI exploded onto the scene a little more than two years ago, tech stocks have been on a tear, driving much of the market’s gains.

However, this success has come back to bite the industry, combined with the uncertainty surrounding President Trump’s tariffs and questions about the future of AI. 

“Tech has become a victim of its own success,” said Callie Cox, chief market strategist at Ritholtz Wealth Management. 

“That doesn’t necessarily mean the tech sector’s story has imploded,” she continued. “It’s just that the expectations for tech have grown so high that it’s hard for the sector to keep reaching them.” 

The tech firms known as the Magnificent Seven have taken a beating in recent weeks. Since the start of the year, these seven stocks have shed $1.57 trillion in market value, according to Yahoo Finance.

Shares in Meta, the parent company of Facebook and Instagram, have plunged nearly 19 percent over the past month. Amazon’s stock has tumbled almost 16 percent in the same period, while Nvidia is down about 14 percent.

The recent sell-off is a major reversal for the Magnificent Seven, which have added trillions of dollars in market value since late 2022, coming to represent more than a third of the S&P 500. 

“It’s been the best performing factor by a mile over the past two years and typically when the stock market turns quickly, you see those leadership sectors tend to get hit the worst,” Cox told The Hill. 

Read more in a full report at TheHill.com.

Welcome to The Hill’s Technology newsletter, we’re Miranda Nazzaro and Julia Shapero — tracking the latest moves from Capitol Hill to Silicon Valley.