Apple Stock Price Slides to a 6 Month Low

When you're hot, you're hot, and when you're cold, well, things are still pretty good if you're Apple. Ahead of the iPhone 5 launch, the Cupertino company saw its share price hit an all-time high a couple months ago, reaching more than $705. Since then, Apple's share price has been steadily declining. Now that the dust has settled from the iPhone 5 launch and iPad mini hype, Apple's share price has started to come down, closing at $526.59 entering the weekend, the lowest it's been in the past six months.

In pre-market trading ahead of Monday morning's bell, Apple's share price is up slightly to $527.68, still well below its recent high. That's a big disparity between the two, but to put it into perspective, Apple's market capitalization now sits at just shy of half a trillion dollars ($496.38 billion). There are far worse situations to be in (just ask AMD, which is trading at $1.86 and is worth $1.23 billion).

Apple Retail Store

Perspective aside, Apple's stock is down about 25 percent from September's high, and that means something. Exactly what it means is up for debate. Some analysts chalk it up to "gravity," noting that Apple's stock price was never truly worth $705 in the first place. Others point to the so-called fiscal cliff of upcoming tax hikes and spending cuts. The tax rate on dividends and capital gains is currently 15 percent, but that's set to expire at the end of the year. Capital gains taxes could go back up to 35 percent.

Whatever the reason, Apple's still in good shape. It is, after all, still the most valuable company in terms of market capitalization.
Tags:  Apple, Business, stocks
fat78 2 years ago

I think apple is going to drop a lot more because people are realizing you don't get much for the apple tax on their products. The main problem is how their os is only used on their phones and it can't compete with android where more developers will go because more people are buying android phones since there are hundreds of options to pick from then a few apple phones. Apple is going o become another rim if they can't keep people blind that they are being ripped off.

I think the only good thing about Steve jobs was that he was a great salesman by calling himself a innovator.

ricofrost 2 years ago

just to think people where saying they were the most valued company in the world a few months back, at $700 per share now its dropping hard. Your right fat78 people are realizing that they arent really getting anything new anymore.

I had an iphone3s and it was good then, was the best design out of all the iphones, hate the new look and feel.

kylevasher 2 years ago

I'm glad they are going down, personally. Like you said ricofrost, people are finally realizing that they are practically being scammed.

Samar 2 years ago

With Android pacing so fast with real innovation, this was bound to happen.  Apple needs to step up its game.

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