Why has the Brainchip (ASX: BRN) share price tanked 20% in a month?

We take a look at what's weighed on the AI's company's share price lately?

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The Brainchip Holdings Ltd (ASX: BRN) share price has had an awful month's trade on the ASX despite no news having been released by the company.

In fact, the last time the artificial intelligence company updated the market with price-sensitive news was way back in August when it released its earnings for the first half of 2021.

As of Tuesday's close, the Brainchip share price is 39 cents, 2.5% lower than Monday's close.

This time last month, Brainchip's shares were swapping hands for 48 cents apiece. That means the Brainchip share price has dropped a whopping 19.79% over the last 30 days.

For context, the S&P/ASX 200 Index (ASX: XJO) has fallen 1.9% in this time.

Meanwhile, the S&P/ASX Information Technology Index (ASX: XIJ) has dropped 6% over the last 30 days while the S&P/ASX All Technology Index (ASX: XTX) is down 5.6%.

So, what's been weighing on the global AI company's stock lately? Let's take a look.

A woman holds her hand out under a graphic hologram image of a human brain with brightly lit segments and section points.

Image source: Getty Images

Could this be why Brainchip has struggled lately?

The Brainchip share price's recent slide might have something to do with its founder and CEO Peter van der Made.

On 10 September, the company announced van der Made was in the process of offloading 8,993,315 Brainchip shares. At the time, my Foolish colleague reported the holding was valued at around $4.3 million.

However, the shares were only earmarked the be sold on 10 September. They would actually swap hands 15 trading days later for the volume average weighted price exhibited through the 15-session period.

Thus, on 5 October, the shares left van der Made's portfolio with the buyer paying $3,659,584.

The Brainchip share price fell 2.5% on the day the swap was completed. However, it fell a similar amount during both the previous session and following session.

Since then, Brainchip's stock has gained another 2.6%.

Whether or not the boss' extended trade was weighing on the AI company's stock is impossible to say.

Though, it's worth noting van der Made still owns more than 160 million Brainchip shares.

Brainchip share price snapshot

The last month has plunged the Brainchip share price into the longer-term red on the ASX.

Right now, the company's shares are trading for 9% less than they were at the start of 2021. However, they're currently valued 6% higher than they were 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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