WhiteFiber (NASDAQ:WYFI) Plunges 9.4% After Earnings Miss Sparks AI Infrastructure Skepticism

WhiteFiber (NASDAQ:WYFI) plunged 9.4112% in pre-market trading on Nov. 17, 2025, opening at $18—a sharp decline from its 50-day moving average of $28.43 and well below the $35.86 average analyst price target. The selloff followed the company’s earnings report, which revealed a $0.47 loss per share—$0.35 worse than estimates—and $20.18 million in revenue, narrowly missing forecasts of $21.18 million.

Despite a “Moderate Buy” consensus from eight analysts (six buys, one hold, one sell), the stock’s performance highlights a disconnect between optimistic long-term projections and near-term fundamentals. UBS and Roth Capital maintained elevated price targets of $51 and $37, respectively, while recent institutional activity saw new positions from hedge funds including Two Sigma and Van ECK. However, the immediate reaction to earnings suggests investor skepticism about short-term profitability despite revenue growth of 64.2% year-over-year.

The decline underscores challenges in aligning expectations with execution for AI infrastructure providers. WhiteFiber’s HPC GPU services, while positioned to benefit from broader AI demand, face pressure to demonstrate consistent profitability. Analysts have adjusted targets downward in recent months, with Needham cutting its price objective to $38 from $45, reflecting cautious sentiment. The stock’s 12-month low of $14.01 now looms as a key support level amid heightened volatility.

A backtest hypothesis could focus on short-term mean reversion strategies following earnings-driven selloffs. Historical data suggests that stocks with strong analyst coverage but underperforming results often see volatility clusters within 10–15 trading days post-earnings. A potential approach involves monitoring volume spikes and RSI divergence to identify entry points for range-bound trades, particularly in sectors with high growth expectations but inconsistent execution. This aligns with WhiteFiber’s current technical profile, where oversold conditions may precede a test of critical support levels.