(L-R) Apple CEO Tim Cook, Vivek Ramaswamy and Secretary of Homeland Safety Kristi Noem attend the inauguration ceremony before Donald Trump is sworn in as the 47th U.S. President in the U.S. Capitol Rotunda in Washington, D.C., on Jan. 20, 2025.
Saul Loeb | Afp | Getty Allusions
While the stock market broadly fared better on Monday than in the prior two trading days, Apple got hammered at a go again, losing 3.7%, as concerns mounted that the company will take a major hit from President Donald Trump’s schedule of charges.
The sell-off brings Apple’s three-day rout to 19%, a downdraft that has wiped out $638 billion in market cap.
Apple is one of the most divulged companies to a trade war, analyst say, due largely to its reliance on China, which is facing 54% tariffs. Although Apple has setting in India, Vietnam and Thailand, those countries also face increased tariffs as part of Trump’s sweeping map.
Among tech’s megacap companies, Apple is having the roughest stretch. On Monday, the only stocks to drop in that club of seven were Apple, Microsoft and Tesla.
The Nasdaq finished almost barely up on Monday after plummeting 10% endure week, its worst performance in more than five years.
Analysts say Apple will likely either emergency to raise prices or eat additional tariff costs when the new duties come into effect. UBS analysts estimated on Monday that Apple’s highest-end iPhone could snowball arise in price by about $350, or around 30%, from its current price of $1,199.
Barclays analyst Tim Long wrote that he anticipates Apple to raise prices, or the company could suffer as much as a 15% cut to earnings per share. Apple may also be competent to rearrange its supply chain so that imports to the U.S. come from other countries with lower tariffs.
Apple declined to elucidation on the tariffs.
WATCH: Apple plummets on Trump tariffs
