Apple shares plunge by $293B amid new US tariffs
Shafaq News/On Thursday,Apple’s stock fell by more than $293 billion, a nearly 9% drop, as technologystocks and markets took a hit following US President Donald Trump'sannouncement of new tariffs.
Many tech giants, including Apple,which manufactures its iPhones abroad in countries like China, Vietnam, andIndia, could be heavily impacted by these tariffs when importing goods to USconsumers.
About 90 minutes after the marketopened on Thursday, Apple’s stock dropped 9%, while Microsoft fell by 3%, Metaby 8%, Amazon by 9%, Google by 4%, and Tesla by 7%.
This decline represents Apple’slargest one-day decline since March 12, 2020, when businesses around the worldclosed due to the COVID-19 pandemic.
The drop in stock price on Thursdayreduced Apple’s market value by over $293 billion compared to Wednesday’sclose.
The company’s valuation is now $800billion lower than its all-time high. Apple, which has faced slowing iPhonesales in recent years, is likely to be more affected by the tariffs than othertech giants.
Angelo Zino, an analyst at CFRAFinancial Consulting, said, "There’s no doubt that continued tariffs willnegatively impact Apple’s fundamentals, with a decline in profit margins andearnings outlook."
Zino added that Apple will likelyaddress the tariffs by attempting to improve supply chain efficiency, cut somecosts, and raise prices for consumers.
However, he noted that "it willbe difficult for the company to pass more than 5% to 10% of the costs ontoconsumers… any significant increase may negatively impact revenues."
