Shareholders of Appen Ltd (ASX: APX) won’t be too happy this Monday. While the S&P/ASX 200 Index (ASX: XJO) is having a decent day so far today, up 0.5% to 7,380 points at the time of writing, the Appen share price is not reciprocating. Appen shares are currently sitting at $9.52 each, down 1.65% so far today.
That means that shares in the tech company are now down close to 12% since the start of September alone.
But that’s unfortunately not where the recent pain for shareholders ends. The Appen share price is now down more than 62% year to date in 2021, and it’s fallen roughly 71% over the past 12 months.
The former WAAAX darling is also down more than 76% since the company last peaked at around $40 a share back in August 2020.
What’s gone so wrong for Appen in the last month?
Well, Appen’s most recent woes all seem to stem from the company’s FY2021 earnings report. This, Appen delivered back in late August.
Investors didn’t appear to like what Appen put up for display back then. That’s judging by the Appen share price falling more than 17% after the report was released.
The company reported revenue falls of 2%. As well as a 14.3% slide in earnings before interest, tax, depreciation, and amortisation (EBITDA). On the bottom line, net profits after tax were down a nasty 55.1% to US$6.7 million.
Those headline figures somewhat overshadowed Appen’s concurrent announcement that it would be acquiring the location data provider Quadrant for US$25 million. Appen announced that this acquisition had been completed earlier this month.
What now for the Appen share price?
With all that has happened to the Appen share price in recent months, many an investor may be wondering what’s next for the Appen shares? Well, as my Fool colleague James covered last week, there has been some interest in Appen at these recent levels.
Broker Citigroup reportedly reckons Appen could be a ‘buy the dip’ opportunity right now. This broker current rates Appen as a ‘buy’ with a 12-month share price target of $18.80. That implies a potential upside of close to a double-up of 100%. Citi reckons Appen is poised for a demand pickup for its services after a tough year or two.