Apple’s stock has been taking quite a hit for the last few months causing it to plunge 12 percent. Even though the company is doing great overall, confidence in the company is not as strong as it used to be.
CNNMoney reported that the stock fell 9 percent in premarket trading and that the impact is so great that it would hit Nasdaq by more than one percent. The overall effect is not to be ignored since Nasdaq trades mainly in tech futures.
Even though the stock has dropped down to $450.50, the company is still worth $42.8-billion, and that by no means is lousy. So where is this drop coming from?
The stock market is driven by emotions, and Apple’s stock is no different. The overall decline is due to reduced interest in Apple products, and a major amount of Apple’s current uncertainties stem from iPhone demands. Competition is increasing in the market, with many products performing on par or surpassing Apple’s line of products.
So what does that mean for those who have a share in Apple’s stock?
According to Los Angeles Times, it all depends on you. The stock is currently doing very well, and the company did report an increase of 28 percent in iPhone sales and 45 percent in iPad sales. However, the overall forecast is an eventual drop off in interest for Apple’s products.
The Future of Apple’s stock will depend on consumers and the company.
Will individuals stand by Apple’s long-standing products only expecting new versions, or will they demand new ground breaking products? If Apple doesn’t provide their needs, then another company will come along and provide for consumers what they desire.