Down 75% in 2022, is it time for investors to give up the ghost on this ASX 300 tech share?

The Appen Ltd (ASX: APX) share price is struggling year to date, but could better days be ahead for this S&P/ASX 300 Index (ASX: XKO) tech share?

The Appen share price has dropped 75.45% in the year to date and is currently fetching $2.74. In today’s trade, Appen shares are up 4.18%. For perspective, the S&P/ASX 200 Index (ASX: XJO) is 0.06% in the red at the time of writing.

Let’s take a look at the outlook for this ASX 300 tech share.

What’s the outlook for the Appen share price?

Appen is a technology company that provides data for machine learning and artificial intelligence applications.

Catapult Wealth portfolio manager Tim Haselum recommends investors “sell” Appen shares. Concerns technology companies are reluctant to spend on data are weighing on his outlook for the Appen share price. Commenting on The Bull, he said:

For many years, APX benefited from big international technology companies increasing data management services used in machine learning and artificial intelligence.

However, consumers are now more reluctant to share data and the big technology companies are cautious about spending.

This may be a headwind for some time, in our view. We have an underweight rating.

However, on the flip side, Evercore ISI senior managing director Julian Emanuel is optimistic about technology shares. As my Foolish colleague Bernd reported, he believes the tech sector could rise again, which could be positive news for tech chares including Appen. Macquarie has also recently raised the price target of Appen to neutral.

Appen recently appointed a new senior vice president and non-executive director. Mini Peiris has joined the Appen team as a non-executive director, while Sean Carithers is the new global senior vice president.

Appen share price snapshot

The Appen share price has fallen 74.72% in the past year, while it has dropped 1.44% in the last month. However, in the past week, Appen shares have surged 10%.

For perspective, the ASX 200 has lost about 4% in the past year.

This ASX 300 tech share has a market capitalisation of about $338.2 million based on the current share price.

The post Down 75% in 2022, is it time for investors to give up the ghost on this ASX 300 tech share? appeared first on The Motley Fool Australia.

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More reading

• Why is the Appen share price storming higher today?
• Could this imply light at the end of the tunnel for Appen shares?
• Appen share price sinks to another multi-year low despite new recruits
• Leading fund manager names the 3 ASX stocks that drove its returns higher in October
• Why are ASX 200 tech shares getting bashed around today?

Motley Fool contributor Monica O’Shea 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 Appen Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. 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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