“Apple Inc. fell for a fifth day, posting its first consecutive 2 percent declines since 2013 and pushing shares to the brink of a 10 percent correction,” Joseph Ciolli, Callie Bost, and Lu Wang report for Bloomberg. “The slide comes amid a rout in China’s market that is occurring two weeks before the company reports earnings.”
“The iPhone maker’s stock decreased 2 percent to $120.07, bringing its five-day loss to 5.2 percent — a drop that wiped out $38 billion of market value,” Ciolli, Bost, and Wang report. “Since reaching its all-time high of $133 on Feb. 23, the stock is down 9.7 percent, leaving it about 40 cents away from a correction.”
“Analysts predict Apple earned $1.79 a share in the three months ended June 30, compared with $1.28 a year earlier, according to data compiled by Bloomberg,” Ciolli, Bost, and Wang report. “The company has beaten estimates every quarter since 2012.”
“In addition to the correction risk, Apple shares are in danger of breaching another chart level that technical analysts monitor, its 200-day moving average. That price is $118.72, a little over 1 percent below its Thursday close,” Ciolli, Bost, and Wang report. “Apple has spent 455 days above the 200-day threshold. Speculators in Apple options have rushed into near-term bearish bets amid the selloff.”
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MacDailyNews Take: Correct away, AAPL!