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Apple (NASDAQ:AAPL) bulls are fighting to avoid recording the worst monthly performance in recent years after a weak showing in the closing weeks of 2022.
Based on yesterday’s closing price of $129.61, Apple stock is down 12.44% in December. Shares closing in the red on Friday would mean that December was the worst month for Apple stock since November 2018, when it dropped over 18%.
Speaking about the company’s weak stock performance in recent weeks, Loup Funds’ Gene Munster brushed off concerns surrounding Apple.
“It’s market jitters, it’s as simple as that,” Munster said Thursday on CNBC’s “Squawk Box.”
Munster, as well as some Apple analysts, connected the latest selloff with fears that supply issues experienced in China will weigh on Apple’s results and guidance. The Cupertino-based tech giant is due to report its earnings in the final week of January 2023.
What are analysts saying about Apple stock selloff?
Here’s what Wall Street analysts had to say about the company in recent weeks.
BTIG: “As we enter 2023, our sense is eyes will shift to Apple which is still flirting with its June lows around $129, but relative strength has firmly broken below its June lows. As far as big picture levels, the 200wk M.A. is currently ~$113.73, and there is a very large unfilled gap at $96 from July 2020. We think both of those are in play for 2023.”
Needham & Company: “We lower our estimates for 1Q23 and FY23, owing to weak macro global consumer demand trends, supply-chain shortages, and growing geopolitical pressures between the US and China which lead to weak iPhone demand in China (about 20% of AAPL’s revs historically) during FY23.”
Citi: “Looking ahead, there are several puts and takes for Apple’s products/services given broader macro consumer woes. While the December quarter is constrained by supply (China COVID closures impacting production), we believe demand for Apple’s products and services is likely to remain resilient throughout FY23.”
Apple stock price is down 27% year-to-date.
