Apple's Market Valuation Drops Below $2 Trillion as Stock Price Continues to Fall
Apple shares are down around 4% today, resulting in the company's valuation falling below $2 trillion for the first time since 2021. Apple's stock is at its lowest price since June 2021 as concerns mount about iPhone supply constraints in China and weakening demand for its products due to persistently high inflation and a looming recession.
While the stock market has experienced a broader downturn, the Financial Times today reported that Apple has fared better than some of its peers, losing 27% of its value in the past 12 months, versus a 33% loss for the tech-heavy Nasdaq Composite as a whole. Apple has reported 14 consecutive quarters of growth, but the company is estimated to report around a 1% drop in revenue in the fourth quarter of 2022.
Apple's manufacturing partner Foxconn has faced iPhone production constraints due to COVID-19-related workplace protests and labor shortages over the past few months, leading to shipping delays for the iPhone 14 Pro and iPhone 14 Pro Max. However, Foxconn said that its main iPhone factory in Zhengzhou, China was operating at 90% of its peak capacity as of December 30, indicating that the situation is improving.
Nikkei Asia on Monday reported that Apple notified several suppliers to build fewer components for AirPods, the Apple Watch, and MacBooks in the first quarter of 2023 due to weakening demand. Shipments of all of those products and the iPhone are set to decline on a year-over-year basis in 2023, according to research this week from Jeff Pu, an analyst at Hong Kong investment firm Haitong International Securities.
Apple briefly became a $3 trillion company in January 2022 after the COVID-19 pandemic fueled strong demand for its products in 2020 and 2021. Apple products were in high demand as more people worked, learned, and connected with others from home.
AAPL was trading at around $124.26 as of writing.
Popular Stories
Apple released iOS 16.3 in late January following nearly six weeks of beta testing. The software update is available for the iPhone 8 and newer, and while it is a relatively minor update, it still includes a handful of new features, changes, and bug fixes.
Below, we've recapped new features in iOS 16.3, including support for physical security keys as a two-factor authentication option for...
Apple has discussed selling a new top-of-the-line iPhone alongside the Pro and Pro Max models in 2024 at the earliest, according to Bloomberg's Mark Gurman. Based on this timeframe, the device would be part of the iPhone 16 lineup or later.
In a September 2022 edition of his weekly "Power On" newsletter, Gurman said there was "potential" for an iPhone 15 Ultra to replace the iPhone 15 Pro...
Online retailer TigerDirect has slashed pricing on the M1 iPad Air in several colors, offering the base 64GB configuration for just $313.99 in Purple and Pink.
Note: MacRumors is an affiliate partner with TigerDirect. When you click a link and make a purchase, we may receive a small payment, which helps us keep the site running.
That's a savings of 48% compared to Apple's normal $599.00...
A new version of the Mac Studio with the "M2 Ultra" chip is unlikely to arrive in the near future, according to Bloomberg's Mark Gurman.
In the latest edition of his "Power On" newsletter, Gurman explained that since the upcoming Apple silicon Mac Pro is "very similar in functionality to the Mac Studio," Apple may wait until the release of M3- or M4-series chips to update the machine, or...
Google's Chromium developers are working on an experimental web browser for iOS that would break Apple's browser engine restrictions, The Register reports.
The experimental browser, which is being actively pursued by developers, uses Google's Blink engine. Yet if Google attempted to release it on the App Store, it would not pass Apple's App Review process.
Apple's App Store rules dictate...
Apple's next device with an Apple silicon chip may not be a Mac or an iPad, but rather an advanced external display, according to recent reports.
The display, which is rumored to arrive this year, is expected to sit somewhere between the $1,599 Studio Display and the $4,999 Pro Display XDR – but more exact information about the device's positioning and price point is as yet unknown. While ...
This week saw the launch of the final product from Apple's January hardware announcements, with the second-generation HomePod making its way into customers' hands.
Other news and rumors this week included signs of an interim iOS 16.3.1 bug fix update in the works as we await a fresh round of beta testing for a more significant iOS 16.4 update, a report on the potential dangers of using...
Today is the official launch day for the second-generation HomePod that was introduced in January, and we picked one up to compare it to the original HomePod that Apple discontinued in 2021.
Subscribe to the MacRumors YouTube channel for more videos. Design wise, the second-generation HomePod looks a lot like the first-generation model, featuring the same rounded design and acoustic mesh...
Top Rated Comments
P.S. - How is the news "devastating"? Kinda par for the course in these times.