As investors assess the vulnerability of real estate service companies to the latest wave of artificial intelligence applications and tools, such stocks plummeted on Wednesday.

These AI tools are threatening the existing structure of multiple industries. CBRE Group, Jones Lang LaSalle, and Cushman have all experienced significant declines. For these three companies, the drop marks the largest single-day decline since March 2020. Analyst Jade Rahmani wrote: "We believe investors are withdrawing from high-fee, labor-intensive business models because these models are seen as highly vulnerable in the face of AI-driven transformation." In just over a week, investors have been selling off shares of software, private credit, financial services, and insurance brokerage companies. Rahmani referred to this as "AI panic trading," with the real estate services sector being the latest group to get caught up in it.