Aixtron Stock Drops 14.75%, Fades Inexplicably

Aixtron's stock has lost about 4% of its value in the past five days, as the semiconductor equipment maker sees its share price slide.

Shares of the Herzogenrath, Germany-based company fell 14.75% to €14.75 in Xetra trading. The stock is now down more than 30% this year.

The reason for the decline is not entirely clear. The company declined to comment. Analysts say the stock may be suffering from a general sell-off in technology stocks. They also cite concerns about the company's exposure to China, which is the world's largest market for semiconductors.

Aixtron, which supplies equipment to the semiconductor industry, has been hurt by the global chip shortage. The company's revenue fell 22% in the first quarter, and it expects to post a loss for the full year.

Analysts say the company may be facing increasing competition from Chinese rivals. A recent report from the China Semiconductor Industry Association found that Chinese companies accounted for 20% of the global semiconductor equipment market in 2021, up from 15% in 2020.

Aixtron is not the only semiconductor equipment maker that is struggling. ASML, the world's largest supplier of lithography equipment, has seen its stock price fall about 30% this year.

The semiconductor industry is cyclical, and it is currently in a downturn. However, some analysts believe that the industry is poised for a rebound in the coming years, as demand for chips continues to grow.