Apple stock, other techs fall as coronavirus spreads beyond China

In Monday trading, Apple and other tech stocks swooned amid reports that the COVID-19 coronavirus outbreak threatens to turn into a pandemic. Apple stock fell as low as $289.23, but rebounded a bit to close at $298.18 is what some investors saw as a buying opportunity.

Apple stock, other tech stocks fall on coronavirus fearsPatrick Seitz for Investor’s Business Daily:

Wedbush Securities analyst Daniel Ives… [today] reiterated his outperform rating on Apple stock with a 12-month price target of $400.

[AAPL] dropped below its 50-day moving average line in a bearish sign. But Apple stock wasn’t alone in falling Monday. Coronavirus concerns tanked semiconductor stocks and other tech stocks as well as broader market averages.

The Dow Jones Industrial Average, Nasdaq composite and S&P 500 indexes dropped after a surge in coronavirus cases outside China stoked fears of a bigger impact to the global economy. The biggest outbreak outside of China has been in South Korea, another major tech manufacturing center.

IPhone chip suppliers dropped along with Apple stock. Broadcom (AVGO) slid 4.2%, Cirrus Logic (CRUS) fell 3.7% and Skyworks Solutions (SWKS) skidded 3%. Qualcomm (QCOM) sank 4.3% and Qorvo (QRVO) declined 1.9%.

MacDailyNews Take: Did anybody get in under $290 today?

14 Comments

      1. He’s obviously trying to time the market to get the most gains. I think big investors love doing this as they can make their trades at the most opportune times. Of course, the really greedy can get burnt if they don’t move fast enough.

        I’d rather just ride out Apple long-term and go for average profits. As long as I’m getting my dividends, I can easily survive the dips. I would find it too tedious trying to constantly figure out the best times to buy and sell my stocks so I just own dividend stocks rather than depending upon share gains.

  1. I’m just riding it out. I’m not really fast enough on the phone to my broker to consider selling the few remaining shares that I do have in order to make a few extra dollars.

    1. 8,200 dead in the US may be true. Right now, the common flu is more deadly than the coronavirus in the US because the common flu is everywhere, but, so far, there are only 50 known corona cases (in the US). The concern is that the coronavirus appears to be both more contagious and have a higher mortality rate than the “normal” flu. In a population of 300 million, even a few percentage points difference in mortality rate can be horrifically significant. Also, it is possible that coronavirus carriers are contagious even if they appear healthy and unaffected. This is unlike the common flu when tends to show obvious outward symptoms.. If there is pandemic-like spread of the coronavirus, there could well be more than 8,200 US deaths by this time next year.

      1. SARS is more deadly the end isn’t near not by a long shot, coronavirus is not like the die off of American Indians at first contact with Europeans nor is it Ebola, what it is however is a buying opportunity for the greedy on Wall Street….

        1. Yes, SARS had a much higher mortality rate than the current coronavirus appears to have. “Fortunately,” SARS victims showed clear outward symptoms which enabled relatively easy identification and immediate quarantine. As a result, fewer people were infected by SARS. Unfortunately, the coronavirus may be more contagious than SARS and it may spread “silently” (without obvious outward symptoms). Time will tell. In a roughly one year period, SARS “only” infected about 8,000. Compare that to the reported 80,000 corona cases in the span of about 4 months. Scary!

            1. I agree. Life moves on. But, I’m sure we can all agree it would be nice to move on without the spectre of yet ANOTHER virus to live with and watch out for each year. Especially one that may be both more contagious and more deadly than the “normal seasonal” flu. Also, I’m sure all will agree that it might feel like the end is near when you or a loved one is hospitalized with breathing difficulties.

  2. First it was the swine fever killing about 100 million pigs.
    Then the coronavirus rocked the economy.
    Next up, locust are closing in on their rice farms.

    What’s next for China and the world markets?

    I believe if they do lose a large portion of their crops to locust and/or floods, the leadership could be toppled. Not a revolution, but systemic changes caused by these maladies plus the unrest in Hong Kong.

    1. Political change in China? That would be… great! But, I wouldn’t place any bets so early. Remember, China has been at this for thousands of years. For now, the last couple of months are just a blip on the long-term China radar. (By the way, I don’t mean to trivialize the horror of the virus in China… that is not my intent. Thank you.)

      1. China has already made changes in the last few decades after absorbing Hong Kong.
        I’m sure not saying they are going democratic (in the REAL sense….) but that people are more informed now and fed up with totalitarianism.

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