Allbirds (BIRD) is forgetting sneakers. It’s now an artificial intelligence company.
The stock soared 600% on Wednesday after Allbirds announced plans to change its name to NewBird AI and raise $50 million, with the funds expected to close during the second quarter of 2026.
In a press release, Allbirds said it will “acquire high-performance, low-latency AI compute hardware” and “provide access under long-term lease arrangements, meeting customer demand that spot markets and hyperscalers are unable to reliably service.”
It was an absurd pivot to begin with, shifting from wool sneakers to the most talked-about topic on the Street right now: AI.
The internet, as expected, delivered an unmatched response.
Negligible Capital compared the rebrand to Jordan Belfort’s tactics on ‘The Wolf of Wall Street.’
Boring_Business suggested it’s throwing out ‘The Intelligent Investor’ by Benjamin Graham, often considered the father of value investing. See ya!
Sara Mauskopf, CEO and co-founder of childcare and education marketplace Winnie, joked about flocking to the platform. AllBirds, I mean NewBird AI, hasn’t shared any plans for an AI chatbot … yet.
AllBirds’ market cap soared from $27 million to $159 million in one day, and investors are cashing in, Sophie joked.
High Yield Harry compared the pivot to a plot from ‘Nathan for You,’ a show where the main character uses outlandish tactics to help struggling small businesses.
Liz Ann Sonders, Charles Schwab’s chief investment strategist, reminded us that this isn’t the first time a recognizable brand jumped on a hot new trend.
Brooke DiPalma is a reporter for Yahoo Finance. Follow her on X at @BrookeDiPalma or email her at bdipalma@yahoofinance.com.
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