Key points
- The Altium share price has dived 16% so far this year
- The All Technology Index and Nasdaq have also dropped dramatically
- The company will reveal its half year results on February 21
The Altium Ltd (ASX: ALU) share price has collapsed more than 16% this year to date despite a stellar 2021.
At the time of writing, the software company's shares are holding their own on Monday, trading at $38.00 apiece, a 0.5% increase on their opening price.
Let's take a look at what may be impacting the Altium share price in January.
Technology share woes
Altium shares have been on a steady decline so far this year. This follows a healthy 33% gain in the company's share price in the 2021 calendar year.
Altium is a global software company headquartered in California with several offices throughout the world, including in Sydney.
The performance of the company's share price has largely fallen in line with the NASDAQ-100 (NASDAQ: NDXT) technology index, down 14% this year to date, and the S&P/ASX All Technology Index (ASX: XTX), down 12.6% in January.
Meanwhile, fellow ASX technology share Xero Limited (ASX: XRO) has sunk 17.85% and Appen Ltd (ASX: APX) has dropped 10.89%.
Tech shares have battled to gain a foothold on rare bright spots so far this year. On January 12, Altium's share price gained 1.69%. This followed a 1.1% gain on Wall Street that had a positive impact on Aussie tech shares on the day. The company's shares also gained 2.17% between market close on 14 and 18 January.
Brokers have also given the company mixed outlooks this month. Jeffries has a buy rating and a $48.83 price target on Altium, as my Foolish colleague James reported on Friday. That's about 29% more than the current share price at the time of writing. However, Citi and Macquarie have predicted the company's shares could decline this year.
Looking ahead, the company will announce its half-year results on 21 February. In November, Altium CEO Aram Mirkazemi expressed optimism the company could achieve its FY2022 guidance of 16-20% revenue growth.
Altium share price snapshot
The Altium share price has fallen 4.4% in a week and more than 13% in the past month. However, in the past year, the company's shares have risen around 30%.
In contrast, the S&P/ASX 200 Index (ASX: XJO) has returned nearly 5% in the past year.
Altium commands a market capitalisation of around $4.9 billion based on its current share price.
