Today Brainchip Holdings Ltd (ASX: BRN) shares are up 15.07% at the time of writing to 84 cents. At one stage in early trade, the Brainchip share price had jumped more than 30% to 97 cents before a pullback. The rally came after the company’s share price soared 30.36% yesterday.
The movement in the Brainchip share price yesterday prompted an ASX query or ‘speeding ticket’ requesting if any information that had not yet been announced to the market could be affecting the share price.
How did Brainchip respond to the ASX query?
Brainchip Holdings stated that its was not aware of any information that had not yet been announced to the market that could be affecting its share price. It stated “BRN is not aware of any matter that would have effected the recent trading in its securities”.
Why is the Brainchip share price soaring?
As we speculated in an article yesterday, it is possible that the Brainchip share price is moving as a result of good news the company released last week. This included a partnership with an American technology company, VORAGO, to supply NASA with its product. Additionally, Brainchip was added to the S&P ASX All Technology Index (ASX: XTX) last week.
It is also possible that more buyers are newly becoming aware of Brainchip’s offering and would like to add it to their portfolios. It is a unique company, offering computer chips that work in a way similiar to the human brain, so it may be seen by investors to have potential, which has been reflected in its recent deal.
Additionally, it is conceivable that there is information Brainchip does not yet know which could be affecting the share price. For example, there could be another entity buying up shares that has not yet reported it to the market. Buyers could also be speculating that Brainchip may have future value as an acquisition target.
What does Brainchip do?
Brainchip has developed a processing technology named Akida. According to the company, this technology works in a way that mimics the human brain. It can learn new information through experiences without needing to undergo complete retraining and can process data without needing to send it to a data centre for processing. Additionally, the technology has applications for processing visual data, audio data, smell and movement.
About the Brainchip share price
The Brainchip share price is up 2,700% since its 52-week low of 3 cents and 1580% since the beginning of the year. The company’s shares are up 2000% since this time last year.
Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.
Find out the names of our 3 Post COVID Stocks – For FREE!
*Returns as of 6/8/2020
More reading
- Why BrainChip, Codan, IPH, & Nufarm shares are climbing higher today
- Why BrainChip (ASX:BRN) and Recce (ASX:RCE) shares just hit record highs
- Why the Brainchip (ASX:BRN) share price soared 30% today
- Afterpay and Brainchip were among the most traded shares on the ASX last week
- ASX All Technology Index swells with new additions
Motley Fool contributor Chris Chitty has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
The post Brainchip (ASX:BRN) share price jumps 15% after ASX query appeared first on Motley Fool Australia.
from Motley Fool Australia https://ift.tt/3m6y6BB
Leave a Reply