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Why is the Magnis share price tumbling 5% on Wednesday?

Is this weighing on the lithium-ion batteries-focused share?

Posted by
Brooke Cooper
Brooke has been a Motley Fool contributor since early 2021. She holds a Bachelor of Communication with specialisations in journalism and international studies from Charles Sturt University. Brooke aims to inform and excite Aussies keen to grow their wealth by investing in ASX companies. When not writing or researching, you'll likely find Brooke gallivanting around South East Queensland.
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Key points
  • The Magnis share price is tumbling nearly 6% to trade at 49 cents on Wednesday
  • Interestingly, there's been no news to explain the vertically integrated lithium-ion battery company's slip
  • However, the broader materials sector is suffering today, with its biggest players all companies in the battery and green metals space

The Magnis Energy Technologies Ltd (ASX: MNS) share price is suffering today despite the company's silence.

Fortunately (or unfortunately), the vertically integrated lithium-ion battery company's stock isn't alone in the red on Wednesday.

At the time of writing, Magnis shares are trading for 49 cents, 5.77% lower than the previous close.

For context, the All Ordinaries Index (ASX: XAO) and the S&P/ASX 200 Index (ASX: XJO) are down 0.73% and 0.68% respectively.

Let's take a look at what's going on with the share prices of Magnis and its ASX-listed peers today.

A couple sits on a sofa, each clutching their heads in horror and disbelief, while looking at a laptop screen.

Image source: Getty Images

What's going on with Magnis shares on Wednesday?

The Magnis share price is struggling alongside its peers in the materials sector today.

Right now, the S&P/ASX 200 Materials Index (ASX: XMJ) is down 1.47%, with lithium explorer AVZ Minerals Ltd (ASX: AVZ) leading the fall.

Its share price has tumbled 6.1% on Wednesday.

The sector's other major players include emerging battery metals producer Liontown Resources Limited (ASX: LTR), and explorer and developer of green metals Chalice Mining Ltd (ASX: CHN).

Their share prices have slipped 6% and 5.6%, respectively, at the time of writing.

Today's dip sees the Magnis share price 14% lower than it was at the start of 2022. Though, it's still 48% higher than it was this time last year.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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.

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