Apple’s share price fell sharply on Tuesday, pushing the iPhone maker’s market value below $2 trillion, as shares fell to their lowest value since June 2021 at $125.07, investors fearing supply constraints and weakening demand amid global economic difficulties.
At Tuesday’s close, Apple saw its shares fall 3.7% after a holiday quarter plagued by supply issues, sending Apple plummeting to a market value of $1.99 trillion. up from $3 trillion last January, when Apple became the first company in the world to reach a record market value.
Despite doing well during the pandemic, with Apple seeing strong growth in iPad and Mac sales due to the rise in telecommuting, supply issues are fundamentally to blame for the drop in value, iPhone factories forced to close ahead of busy holiday season due to COVID-19 infections among staffleading to massive inventories.
It has been reported shortage could have meant Apple shipped 20 million fewer units than expected in Q4 2022Respected industry analyst Ming-Chi Kuo lowered his forecast for iPhone shipments for the holiday quarter by 20% to 70-75 million units, from 80-85 million units previously.