Apple's Longest Sell-Off Since April Has Cost Investors $107 Billion
Apple is headed for its longest losing streak in more than six months
(Bloomberg) -- Apple Inc. is headed for its longest losing streak in more than six months as investors reassess the company’s growth prospects amid declining expectations for iPhone sales.
The shares fell 2.5 percent at 1:36 p.m. in New York, extending a five-day slump that would be Apple’s longest losing streak since late April. The stock has fallen 11 percent over the rout, erasing about $107 billion in market value. Apple’s year to date gain is now just 11 percent, down from almost 40 percent in early October.
Investors are grappling with reduced sales expectations this week after several iPhone suppliers unexpectedly cut revenue forecasts. The developments prompted Guggenheim to downgrade its rating on Apple on Wednesday to the equivalent of hold. The company’s reliance on higher-average selling prices for the devices are “no longer enough” to support revenue growth expectations, the firm said.
To contact the reporter on this story: Jeran Wittenstein in San Francisco at jwittenstei1@bloomberg.net
To contact the editor responsible for this story: Catherine Larkin at clarkin4@bloomberg.net
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