Apple Stocks On The Brink Of 10% Correction
Investors of Apple have witnessed a rotting August as the bears have been feasting on the new growth fears.
Shares of the tech empire are down by approx 8.8% in August, as per Yahoo Finance Data, ridiculously underperforming the S&P 500’s 1.6% drop.
The stocks had fallen lower than its key 50-day moving average as the sentiment had gotten difficult after the company’s unenthusiastic earnings report in the previous week.
Compared to the high July 31st records, Apple has downed roughly 9%, more clearly a percentage point away from hitting the technical definition of a correction.
During this time, Apple has witnessed a loss of $255 billion in market value.
“The move is just knee-jerk August selling after a parabolic run so far this year,”
– Dan Ives, Apple Bull, and Wedbush Tech Analyst.
“Selling Apple here ahead of the iPhone 15 launch, services ramping to double-digits, and a new tech bull market underway would be like leaving the Super Bowl at halftime,”
Ives further added.
Year to date, stocks of Apple remain up by 38% and relatively outperformed compared to the 17% profit for the S&P 500.
Talks on Wall Street suggest that the sluggish economies in China and the US may weigh down on Apple’s result for 2024. Additionally, Apple’s recent earnings only fueled the flames.
Mac and iPhone fell over the years in recent quarters. Apple’s sales dropped in Japan, America, and the rest of the Asian geographic segments.
“The geographic performance continues to highlight the challenges in key developed markets,”
– Samik Chatterjee, Analyst, JP Morgan.
“We continued to face an uneven macroeconomic environment,”
– Tim Cook, CEO of Apple.
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