- Earlier last year Apple lost around $57 billion in market value due to disturbance in its stocks.
- Apple losses come after the mass coronavirus outbreak.
- Investors continued to worry about the spread of coronavirus and its potential impact on the economy.
It was a brutal day on Wall Street as Apple losses went as high as $42 billion in terms of market cap. The tech enthusiast giant witnessed not less than a 10% downfall in its stock value.
Apple (AAPL) stocks fell $27.20 or 9.9% to close $248.21 a share on Thursday. Since February 13th, shares in the high-tech giant fell $76.64. For the year Apple shares are down 15.5% in value.
It’s so obvious that if and when shares of a company fall, its market cap falls as well. In terms of the dollar, Apple losses are high as $119 billion in value, nearly $350 billion since the end of January.
As trading commenced yesterday, Apple opened at a share price of $255.52, down by roughly 7% over yesterday’s close. Apple’s drop marked the continuation of global markets recording prior growth.
The image below tells a lot about the tech giant. APPL stocks dipped as low as $253.95 at 10:00 am ET. Before the post was live, the share price fell by nearly 7.5%.
Sell-Off Threatens the Tech-Giant. With Surmounting Apple Losses, Apple Inc. Struggles in The Share Market:
It’s not only about Apple here, but almost all the tech giants are also struggling in the stock market. Apple, Facebook, Alphabet, Amazon, and Microsoft lost a combined $416.63 billion on Thursday.
Apple losses and so Microsoft’s losses when combined, both lost more than $1 billion in value. Investors seem to be most concerned about how much consumers and businesses will cut back spending if the economy goes into a recession.
In the month of February, Apple warned that it might not meet its Q2 forecast for revenue. Facebook, Google, Apple, Microsoft, and Amazon are down by 24.7%, 17%, 15.5%, 11.8%, and 9.3% respectively.
When we look at short-seller sentiment, things start to get even worse. Short interest in Apple is currently sitting at its lowest point for this year – majorly due to coronavirus outbreak.
Summing Up:
Market trends from the month of March do not seem to be in favor of our tech giant. With Apple losses touching the mark of $42 billion, whether the company will keep on losing their money or it will revive entirely depends upon China’s manufacturing situation.
Though there was an uptick in Apple’s iPad sales due to school closure, that doesn’t help much to the company. We hope that Apple revives soon along with other major tech giants.
