I don’t usually post stuff like this, but this particular hit to Aehr judt seemed weird.
I’ve scoured reports looking for some news about Aehr, but could find nothing. I guess it just got caught up in the general chip and equipment maker downdraft as a reaction to the “oversold” AI hype.
I assume it will bounce back soon, especially as Aehr is not related to AI in any way that I can tell.
Chip stocks are having a moment after AMD reported yesterday. If chip stocks slide, the whole industry tends to get caught up in it, even when there’s no direct linkage. Lots of stocks trade together–some with good reason, some only because a lot of people don’t know the details of a company, and some because they’re lumped together in specific ETFs for a particular industry.
Sometimes there’s also a drop because someone at the company wanted a paycheck and sold shares. If you sign up to get a company’s SEC filings, you’ll get a notice a couple of days after that happens.
But I’m guessing it was the AMD report that hit Aehr as collateral damage. If it’s big enough news to get a headline on CNBC, it’s big enough to affect the stock and/or sector, at least for a day or two.
Markets are suddenly in risk-off mode and its a VERY volatile stock in general. 6%+ moves in either direction are nothing uncommon for Aehr.
Don’t think there is a link to any AI sentiment change. The AMD report was two weeks ago, so nothing to do with that. It‘s just a very speculative stock with lower volume - therefore big moves are more frequent.