The Novonix Ltd (ASX: NVX) share price tumbled to another 52-week low today.
Novonix shares fell 10.58% to $1.1.395 each on the market today. For perspective, the
S&P/ASX 200 (ASX: XJO) slipped 0.3% while the S&P/ASX All Technology Index dropped 1.24%.
Let's take a look at what could be impacting the Novonix share price.
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What's going on?
Novonix is a battery materials technology company. ASX tech shares struggled after the Nasdaq Composite fell 1.38% in the US overnight.
Bond yields lifted higher, impacting growth shares including technology, CNBC reported. Truist Wealth co-chief investment officer Keith Lerner told the publication:
It's basically the continuation of high yields depressing growth, with redistribution into other sectors that are smaller, but not big enough to change the headline index.
Novonix makes graphite anode materials for the lithium-ion battery supply chain. ASX lithium shares also struggled today. The Sayona Mining Ltd (ASX: SYA) share price sunk nearly 11% while Pilbara Minerals Ltd (ASX: PLS) shares fell nearly 4%.
It seems concerns about further interest rate rises and inflation could also be weighing on investor sentiment. Japan's inflation lifted at its fastest pace since 1981 in November, Bloomberg reported.
Novonix reported a $71 million loss in the 2022 financial year. Higher interest rates also mean debt costs more.
In recent company news, Novonix recently downgraded its graphite anode materials production from the Riverside facility in the US. It is now expecting to produce 3,000 tonnes per annum (tpa) starting in 2024. As my Foolish colleague James reported, this is a significant drop from the company's plan to produce 10,000 tpa of synthetic graphite in 2023.
Share price snapshot
The Novonix share price has fallen 84% in the last year.
For perspective, the ASX 200 has lost 4.5% in a year.
