AI Stocks Slide Deepens as E2E Networks Locks at 5% Lower Circuit and Netweb Technologies Falls 4.94% Amid Continuing Global Tech Selloff

Indian AI stocks extended their slide for a third session on Thursday, June 11, 2026, with E2E Networks locking at the 5% lower circuit at Rs 369 and Netweb Technologies declining 4.94% to Rs 4,083.30, as the global technology selloff triggered by Broadcom’s cautious AI chip guidance continued to pressure valuations across the AI infrastructure ecosystem. The ongoing AI stocks correction has been building since June 9, when Netweb fell 7-8% and E2E Networks first hit the lower circuit, tracking the Nasdaq’s 4.5%+ weekly decline on June 5. The selloff extends beyond pure-play AI companies: data centre enablers including Anant Raj (-1.40%), Black Box (-2.96%), and leading IT names like Infosys (-2.60%) and HCL Technologies (-2.01%) are all under pressure, reflecting a broad-based reassessment of technology sector valuations in the Indian equity market.

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AI Stocks Performance Today (Kite-Verified)

AI/Data Centre Stock	NSE	CMP	Prev Close	Change %	Day High	Day Low
E2E Networks	E2E	Rs 369.00	Rs 388.40	-4.99% (5% lower circuit)	Rs 369	Rs 369
Netweb Technologies	NETWEB	Rs 4,082.10	Rs 4,295.60	-4.94%	Rs 4,360	Rs 4,071
Anant Raj	ANANTRAJ	Rs 512.10	Rs 519.35	-1.40%	Rs 528.20	Rs 510.30
Black Box	BBOX	Rs 982.70	Rs 1,012.70	-2.96%	Rs 1,029.30	Rs 981
Infosys (IT context)	INFY	Rs 1,115.50	Rs 1,145.30	-2.60%	Rs 1,133.70	Rs 1,109
HCL Technologies	HCLTECH	Rs 1,109.30	Rs 1,132.10	-2.01%	Rs 1,113.90	Rs 1,089.50
Tata Elxsi	TATAELXSI	Rs 4,007.50	Rs 4,092.20	-2.07%	Rs 4,080	Rs 3,981

Global Context: The Broadcom Trigger

Global Stock/Index	June 5 Move	Context
Nasdaq Composite	-4.5%+ for the week	AI valuation concerns post-Broadcom
Broadcom (AVGO)	-14% on June 4	Q3 AI chip guidance $16 Bn vs $17.2 Bn estimate
Samsung Electronics	-5%	Kospi dragged by chipmaker selling
SK Hynix	-6.7%	Memory chip weakness + AI capex concerns
TSMC (Taiwan)	-2.1%	Semiconductor sector risk-off
SoftBank Group (Japan)	-7.5%	AI investment portfolio de-risking
Tokyo Electron	-6.7%	Semiconductor equipment sell-off

Why Broadcom’s Guidance Rattled Global AI Stocks

The proximate cause of the AI stocks selloff is Broadcom (AVGO), whose fiscal Q2 2026 results on June 3, 2026, contained a critical miss. While Broadcom beat revenue estimates ($22.19 billion actual vs $22.13 billion consensus), its Q3 AI chip sales guidance of $16 billion fell short of the $17.2 billion analyst estimate. Broadcom also chose not to raise its full-year 2026 AI semiconductor sales forecast. This was interpreted by markets as a “sell-the-AI-story” signal: if Broadcom, one of the most direct AI infrastructure hardware beneficiaries, is guiding conservatively, the broader AI capex cycle may be closer to its peak than consensus expected. Broadcom fell 14% on June 4, pulling down the entire global semiconductor and AI infrastructure supply chain over the subsequent sessions.

Indian AI Stocks: E2E Networks and Netweb Technologies in Focus

Among Indian AI stocks, the two hardest hit today are E2E Networks and Netweb Technologies, which are the most direct proxies for India’s AI infrastructure buildout. E2E Networks, a cloud computing and AI platform provider, has seen its share locked at the 5% lower circuit at Rs 369 (from prev close Rs 388.40). The stock had hit a lower circuit on June 9 as well, during the initial global AI rout. Despite the correction, E2E Networks reported a 60% YoY revenue jump in Q3 FY26 to Rs 70 crore and has an Nvidia collaboration for cloud and AI infrastructure. Netweb Technologies, which supplies Tyrone-brand high-performance computing servers for AI workloads and data centres, has fallen from Rs 4,295.60 (prev close) to Rs 4,083.30 (-4.94%), despite reporting 141% YoY revenue growth to Rs 805 crore in Q3 FY26 and maintaining an order pipeline of Rs 4,270 crore.

The Valuation Debate: Has India’s AI Re-Rating Gone Too Far?

The AI stocks selloff in India reflects a broader valuation recalibration debate. Many of India’s AI and data centre stocks re-rated aggressively in 2025-26, driven by the Union Budget 2026’s tax holiday for global cloud service providers, India AI Impact Summit commitments of $200 billion in investments over two years, and strong quarterly earnings from Netweb and others. However, as Broadcom’s guidance revealed, AI infrastructure spending from Big Tech may be more episodic than the market had priced in. Khushi Mistry, Research Analyst at Bonanza, noted: “The Broadcom-triggered sell-off has exposed the fragility of hyper-concentrated AI markets. India’s AI story is structurally intact but is concentrated in companies with genuine earnings recovery visibility.”

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Conclusion

The AI stocks slide deepens today with E2E Networks at the 5% lower circuit (Rs 369) and Netweb Technologies down 4.94% (Rs 4,083.30) as the global AI tech rout triggered by Broadcom’s guidance miss continues into the third session. The fundamental case for Indian AI stocks remains intact, with strong order books and earnings growth, but near-term global sentiment is negative. Track live AI stocks data and data centre sector research on Univest.

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Frequently Asked Questions

Why are AI stocks falling in India today?

Ans. Indian AI stocks including E2E Networks (at 5% lower circuit, Rs 369) and Netweb Technologies (down 4.94% to Rs 4,083.30) are falling for the third session since June 9, tracking the global technology selloff triggered by Broadcom’s (AVGO) disappointing Q3 AI chip sales guidance. Broadcom guided for Q3 AI chip sales of $16 billion, below the market expectation of $17.2 billion, and fell 14% on June 4, 2026. This caused the Nasdaq to fall over 4.5% the following week, sending a negative signal across global AI-linked equities. Indian AI stocks that had rallied significantly in 2026 are now undergoing a correction as investors reassess AI valuations.

What triggered the global AI tech selloff?

Ans. The global AI tech selloff was triggered by Broadcom’s (AVGO) fiscal Q2 2026 earnings results released on June 3, 2026. While Broadcom beat revenue estimates ($22.19 billion vs $22.13 billion expected), its Q3 AI chip sales guidance of $16 billion fell short of the $17.2 billion analyst estimate, and the company notably did not raise its full-year AI semiconductor forecast. This cautious guidance was interpreted by markets as a signal that AI infrastructure spending growth may be moderating, causing a broad sell-the-AI-story reaction. Broadcom fell 14% on June 4, dragging down Samsung (-5%), SK Hynix (-6.7%), TSMC (-2.1%), SoftBank (-7.5%), and eventually Indian AI stocks.

What are E2E Networks’ key fundamentals despite today’s fall?

Ans. Despite the 4.99% decline to the lower circuit at Rs 369 today, E2E Networks has strong fundamental momentum. The company reported a 60% YoY jump in Q3 FY26 revenue to Rs 70 crore and announced a collaboration with Nvidia for cloud and AI infrastructure. E2E Networks had delivered over 45% returns to investors in 2026 before the current correction, reflecting strong institutional confidence in India’s cloud computing and AI platform play. The company is investing aggressively in infrastructure, which temporarily creates losses (Rs 5.7 crore Q3 FY26 loss) but positions it for higher-margin AI cloud revenue.

Is the AI stocks selloff a buying opportunity?

Ans. The AI stocks selloff may represent a buying opportunity for investors with a medium-to-long term horizon, depending on individual stock fundamentals. Netweb Technologies has an order pipeline of Rs 4,270 crore and reported 141% YoY revenue growth in Q3 FY26, indicating strong business momentum. E2E Networks has an Nvidia partnership and India’s $200 billion AI investment pipeline as structural tailwinds. However, the near-term trigger for a recovery would be either a stabilisation in global AI sentiment (clarity on US AI capex from Microsoft, Google, Meta) or India-specific catalysts such as new government AI orders. The correction from elevated valuations warrants caution. This is not investment advice.