Tech Giant Shrinks Apple Loses More Value Than Tesla

Source: dpa 1 min Reading Time

Apple's share price has fallen more sharply than Tesla's, as dpa now reports. Read more here ...

The American tech giant Apple, known for the invention of the i-Phone, is increasingly confronted with share price losses, as can be seen from the stock market environment ...(Image: Brokerworld)
The American tech giant Apple, known for the invention of the i-Phone, is increasingly confronted with share price losses, as can be seen from the stock market environment ...
(Image: Brokerworld)

It is said that technology stocks are increasingly outperforming the i-Phone company Apple. But this year, Apple has already had to accept a drop in value of almost 20 percent, which is a little more than the loss at electric car manufacturer Tesla. Customs costs and demand concerns are probably the problems Apple is currently facing. Apple shares are now down 0.2 percent in late New York trading. This makes it the only loser among the seven most important tech giants in the USA, while the technology-heavy Nasdaq 100 index reached a record high. In the ranking of the most valuable companies, Apple has thus slipped behind the leader Nvidia and is now in third place after Microsoft. And Tesla is no longer formally one of the so-called "Magnificent Seven" because Broadco has now overtaken it in terms of market capitalization.

Apple Shares Still Rated "Neutral" at Best

Accordingly, there are fewer and fewer analysts who are optimistic about Apple. With JP Morgan, there is still one particularly renowned institute that votes Overweight. However, Samik Chatterjee has now cut his estimates and the price target due to his concerns about demand for the stock. Although Bank of America confirmed its buy recommendation in June, other institutions, such as UBS and DZ Bank, have long rated the i-Phone manufacturer as neutral or recommend holding. The analyst firm Jefferies even downgraded the share to Underperform in May due to the expected customs duties. This was foreseeable, as Apple's share price had already fallen at the beginning of April with the first tariff shock. Apple boss Tim Cook has probably not followed US President Donald Trump's former advice to manufacture i-Phones in the USA in future instead of in India.

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