Shares had been on the slide since April 10, when they dropped US$7.79 from the closing of the day before. In the stretch April 10-16, Apple’s share price plummeted a cumulative US$56.10 or nearly 9 percent.
Apple’s share price has not yet returned to its 52-week high, however, which was set at US$644 a week ago today.
The decline followed weeks of good news about Apple’s stock. At the beginning of the month two analysts predicted that Apple could see US$1,001 a share within the next year and that its market capitalisation could reach US$1 trillion in a few years. We also saw Apple’s market value surpass US$600 billion. We asked what caused the decline in a story early on Tuesday. Now one Wall Street analyst has said there is no clear explanation for Apple’s share price dip.
“We are not hearing anything new or incremental for the weakness in Apple stock,” said Brian Marshall of International Strategy & Investment Group (ISI), in a note to clients on Monday. “We believe this could be a simple ‘collapsing’ on its own weight given the year-to-date move of Apple up approximately 45 percent, while the S&P 500 has been up about 10 percent.”
Apple’s uptick came alongside general gains in the market Tuesday, when the NASDAQ gained 2 percent and the Dow was up 1.5 percent at today’s close in the US market.