Apple Inc. is off to its weakest start to a year since 2019, putting its long-standing status as the world’s most valuable stock by market value in jeopardy.
The Cupertino, California-based company has been the most valuable publicly-listed company since July 2022, but the stock has fallen sharply this year after the technology giant was hit by two ratings downgrades, with analysts flagging weak macro environment in China pressuring demand for iPhones. That has shrunk its lead over fellow technology juggernaut Microsoft Corp. — whose shares have seen a less pronounced decline to begin the year — to less than $100 billion.
Apple’s shares, which rallied nearly 50% last year, have fallen in every session to start 2024, on track to wipe off about $183 billion in market value, according to data compiled by Bloomberg. While the stock has suffered bigger percentage declines in the first week of January, this is its biggest market value destruction at the start of any year on record.
Apple fell 0.7% in premarket trading on Friday, pushing its market value down to $2.81 trillion, nearing Microsoft’s $2.73 trillion. If premarket losses hold, the stock will fall for its fifth consecutive session, its longest losing streak since October.
Meanwhile, the Windows software maker has benefitted from the artificial intelligence trade that has mesmerized Wall Street over the past year. The software maker is OpenAI’s largest shareholder and has invested about $13 billion into the ChatGPT parent.
This article was provided by Bloomberg News.
