What:Investors in Organovo Holdings , a company focused on 3D bioprinting,are having a rough day as shares of the company are down nearly 10% as of 3:00 p.m. EST on higher than normal volume.
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So what: There doesn't appear to be any news responsible for driving Thursday's price action but many of the publicly traded stocks that focus on 3D printing -- like Stratasys -- are also being sold off hard on Thursday.
Now what: With the stock market off to such a rough start to the year -- the Nasdaq Composite is down more than 5% since Jan. 1 -- many higher risk stocks have been taken down. I think its fair to classify stocks involved in 3D printing like Organovo and Stratasys as higher risk, so it makes sense that both stocks have nose dived since the start of the year.
While Organovo is an entirely different animal than the other publicly traded 3D printing companies, its stock tends to get lumped in with the entire group and often trades in lockstep with them. That may not seem fair, especially with everything related to 3D printing getting slaughtered over the past few years, but that's just the way the market seems to treat its stock.
Both Organovo and Stratasysare companies that offer huge potential but they are also prone to violent share price swings.Without news of any kind its tough to see these moves today as anything more than market noise, so if you were bullish or bearish on either of these names before Thursday's price movement I see little reason to change your stance.
The article Why Organovo Holdings, Inc. Is Down Big Today originally appeared on Fool.com.
Brian Feroldi owns shares of Stratasys. The Motley Fool recommends Stratasys. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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