How have ASX artificial intelligence shares been performing lately?

Have investors been rewarded or burned in the AI space?

| More on:
appen share price

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

As most investors would be acutely aware of, the share market has taken its participants on a wild ride over 2022 thus far. Take the performance of the S&P/ASX 200 Index (ASX: XJO) just today as an emblem. The ASX 200 rocketed close to 1% soon after open, but ended up losing all of its goodwill by the afternoon, and ended up closing down by 0.22% by the end of the trading day. In 2022 so far, the ASX 200 remains down by 4.1%. But some sectors have been hit harder than others. So let’s check out how ASX artificial intelligence shares have been faring of late. 

We know that the tech sector hasn’t been the luckiest this year. In fact, many ASX tech shares are amongst the ASX 200’s worst performers in 2022. But let’s see if this extends to artificial intelligence shares. 

AI: Making it Appen…

Let’s first check out what could arguably be described as the ASX artificial intelligence share posterchild, Appen Ltd (ASX: APX). Appen shares had a strong day today, rising 1.15% to $7.05 a share. But unfortunately, that doesn’t make up for the rather dismal year that this annotated dataset company has had to endure. Appen remains down by a nasty 36.7% in 2022 thus far. 

That puts the company’s 12-month falls at an even more depressing 60.88%. Investors seem to have been put off by Appen’s most recent earnings report, which we all got a look at back in February. The shares have lost more than 17% since that report was dropped alone. 

In these full-year results, Appen reported an 8% increase in revenue, as well as a 3% rise in underlying earnings. However, it might have been the 20% slump in net profits after tax that really turned investors off.

So not a great time right now for Appen and its shareholders.

Another ASX artificial intelligence share to check out

But let’s check out another artificial intelligence company for the ASX in Brainchip Holdings Ltd (ASX: BRN). Brainchip has been around for a while, but really grabbed investors’ attention back in 2020 when its shares rocketed more than 1,500% in just 5 months. The company also went on another run that saw its shares gain more than 160% between Christmas eve last year and 19 January. 

Here we have a tale on entry points in 2022. Year to date, Brainchip is still up a pleasing 20.25%, even after accounting for today’s nasty 3.056% drop to 95 cents a share. 

However, if you were unlucky enough to buy Brainchip shares on 19 January at the company’s all-time high of $2.34 a share, you’d be down close to 60% on your money. The company has made a series of announcements and patent successes over this year, which seems to have helped keep its share price especially volatile.   

So that’s how 2 ASX artificial intelligence shares have been faring lately. It’s been a mixed bag for this fledgling corner of the market. But watch this space, because few would expect the artificial intelligence space to come up with anything but world-changing ideas over the next few years. 

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns 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 Bruce Jackson.

More on Technology Shares

Three people gather around a large computer screen where they are looking at something that is captivating their interest with a graphic image of data and digital technology material superimposed to the right hand third of the image.
Technology Shares

Is the Megaport share price a buy following the company’s latest results?

Could Megaport go higher?

Read more »

Three colleagues stare at a computer screen with serious looks on their faces.
Dividend Investing

‘Exciting’ ASX 200 dividend share expected to deliver material returns: expert

Investors seeking income stocks need to do more than simply look at what the companies paid out over the past…

Read more »

Two men laughing while bouncing on bouncy balls
Share Gainers

Why is the BrainChip share price bouncing 6% higher today?

What's causing the BrainChip share price to pop on Tuesday?

Read more »

Man pointing at a blue rising share price graph.
Earnings Results

Megaport share price rises as revenue lifts 40%

Investors appeared to react positively to Megaport's results.

Read more »

a man sits at his desk wearing a business shirt and tie and has a hearty laugh at something on his mobile phone.
Technology Shares

Here are 2 excellent ASX tech shares a top broker says are buys

Here are two highly rated ASX tech shares...

Read more »

A cloud with a blue arrow pointing upwards through its middle symbolising a rising asx share price
Share Gainers

Guess which ASX tech share just soared 40% on takeover news

This small-cap ASX tech share has shot up 40% today.

Read more »

A man leaps through the air with a swimming cap and a look of uncertainty.
Share Gainers

Why is the Appen share price jumping 10% on Monday?

What's going on with Appen shares?

Read more »

A frustrated male investor frowns with his hands and arms open asking why the share price has dropped today
Technology Shares

Why is the Novonix share price having such a lousy start to the week?

The Novonix share price is handing back some of its recent gains.

Read more »