The Mesoblast Limited (ASX: MSB) share price has started the day well and is now trading around 4% higher at 68.5 cents apiece.
Despite the gain today, Mesoblast shares have struggled since April. They are down around 40% since that time, in continuation of a longer-term downtrend.
Mesoblast is also down 51% this year to date, amid a heavy sell-off in ASX tech shares. In the last 2 weeks, a plunge in the broader market has pulled the share lower.
What’s up with the Mesoblast share price?
Investors have been selling the Mesoblast share price down on no news. The company did release its financial and operational highlights for the last quarter on 1 June, however, the market was unfazed.
In fact, shares have been trending south for over 1 year now, having fallen hard from a sharp peak of $4.60 in December 2020.
Since then, shares have rolled lower and now trade at both 2-year and 52-week lows.
With the trend in place, there’s been no support from the market, not in 2022 anyway. The S&P/ASX All Technology Index (ASX: XJO) is also at yearly lows having sunk 38% this year to date.
Furthermore, Mesoblast has seen proceedings started against it in a Federal Court of Australia back in May.
According to TMF at the time, the claimant – someone who bought shares between 2018-2020 – alleges Mesoblast “engaged in unlawful conduct that misled the market about remestemcel-L”.
“Mesoblast has reportedly faced multiple class actions in the US on similar allegations,” TMF added.
Nevertheless, the Mesoblast share price has tumbled more than 69% into the red over the last 12 months, as seen below.