Insights

Why did the BrainChip share price just crash 17%?

BranChip shares are getting punished today. Here’s what we know…
The post Why did the BrainChip share price just crash 17%? appeared first on The Motley Fool Australia. –

ASX shares are having yet another doozy of a selling day thus far this Tuesday. As it currently stands, the All Ordinaries Index (ASX: XAO) has lost another painful 1.36% and is now back to just under 7,260 points. But that pales in comparison to what is happening with the BrainChip Holdings Ltd (ASX: BRN) share price.

BrainChip shares are getting hammered today, no way around it. At the time of writing, this artificial intelligence company is down a nasty 11.16% at $1.075 a share. It could be worse though. Soon after market open, BrainChip shares plunged all the way down to $1 a share. That was a loss worth more than 17% at the time.

Even though the company has recovered some of this morning’s losses, its current pricing still puts BrainChip among the worst-performing ASX shares of the day.

So what’s going on with BrainChip today that has elicited such a strong punishment from the markets?

Why is the BrainChip share price tanking today?

Well, as we covered yesterday, BrainChip was one of the few ASX shares that had a strong day of trading on Monday. As most ASX shares were crashing, BrainChip ended up racing higher, finishing at $1.21 a share. That was up around 14% for the day.

As we covered at the time, this rise might have had something to do with BrainChip listing the leading UK-based semiconductor company Arm as a partner. It seems this was enough to attract buyers yesterday.

But judging by the company’s share price performance over today thus far, this goodwill seems to have burned out. There hasn’t been any other news or announcements out of BrainChip this week, so that’s the best explanation we have right now.

At the current BrainChip share price, this ASX tech share has a market capitalisation of $2.07 billion.

The post Why did the BrainChip share price just crash 17%? appeared first on The Motley Fool Australia.

Should you invest $1,000 in BrainChip right now?

Before you consider BrainChip, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and BrainChip wasn’t one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of January 13th 2022

More reading

3 ASX All Ordinaries shares that managed to post decent gains on Monday
Why BrainChip, PolyNovo, TPG, and Westpac shares are pushing higher
Why is the BrainChip share price racing 8% higher today?
On a dire day for the ASX, the BrainChip share price just leapt 11%. What’s going on?
Why BrainChip, Coles, Fisher & Paykel Healthcare, and PolyNovo shares are rising

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Block, Inc. The Motley Fool Australia has positions in and has recommended Block, Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

  • This field is for validation purposes and should be left unchanged.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US & HK* Trades. Click Here!