The BrainChip Holdings Ltd (ASX: BRN) share price is tumbling today despite no news having been released by the company.
At the time of writing, the BrainChip share price is $1.09, 5.65% lower than its previous close.
For context, the S&P/ASX 200 Index (ASX: XJO) is currently 0.69% higher.
Let’s take a closer look at what might be weighing on the neuromorphic computing company’s stock today.
What’s going wrong for the BrainChip share price today?
BrainChip shares are having a rough day on Wednesday, slumping more than 5% as the tech sector struggles.
Right now, the S&P/ASX 200 Information Technology Index (ASX: XIJ) is down 2.6% while the S&P/ASX All Technology Index (ASX: XTX) is recording a 2.05% drop.
The sector is struggling following the tech-heavy Nasdaq Composite‘s 2.35% tumble overnight.
The dip was led by social media stock Snap Inc (NASDAQ: SNAP). It plummeted 43% on the back of a negative trading update.
It was also likely driven by fears of a recession in the United States, The Motley Fool’s Bernd Struben reported this morning.
Suffering alongside the BrainChip share price is stock in tech giants Block Inc (ASX: SQ2) and Megaport Ltd (ASX: MP1). They’ve both tumbled more than 5%.
However, the dip hasn’t been enough to send BrainChip’s stock into the long-term red.
Right now, it’s trading for 38% more than it was at the start of 2022. It’s also 91% higher than it was this time last year.
At the current share price, BrainChip presides a market capitalisation of $1.97 billion.
The post Why is the BrainChip share price tumbling 5% on Wednesday? appeared first on The Motley Fool Australia.
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More reading
- Why BHP, BrainChip, Chalice Mining, and Fisher & Paykel shares are dropping
- Why BrainChip, Codan, Elders, and Karoon Energy are storming higher
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- The BrainChip share price just plunged 8%, what happened?
- Nearmap share price jumps 9% on Friday
Motley Fool contributor Brooke Cooper 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. and MEGAPORT FPO. The Motley Fool Australia has positions in and has recommended Block, Inc. The Motley Fool Australia has recommended MEGAPORT FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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