Feb. 13 at 6:38 PM
Wall Street defended freight brokerage stocks after a steep selloff sparked by claims from Algorhythm Holdings that its AI tools could disrupt the sector. The company, formerly a karaoke machine maker, has a market value of about
$8 million.
Shares of C.H. Robinson Worldwide fell 15%, while RXO dropped 21%. Analysts largely called the reaction “overdone,” noting that major brokers already use AI extensively to improve efficiency. Benchmark recommended buying C.H. Robinson, arguing its technology platform remains differentiated.
Despite potential near-term volatility tied to AI disruption fears, 57% of analysts rate C.H. Robinson a Buy, with an average price target near
$196—slightly above the average Buy ratio for the S&P 500. The Dow Jones Industrial Average was little changed in early trading.
$CHRW $RXO $RIME $SPX $DJIA