As the U.S., U.K., Germany, E.U., etc. look to rein in “Big Tech,” antitrust and regulatory concerns have been weighing on Apple stock.
Patrick Seitz for Investor’s Business Daily:
On Monday, Wedbush Securities analyst Daniel Ives attempted to quantify the impact of those investor worries on Apple stock.
“We believe right now there is roughly a $20 per share overhang on Apple’s stock due to antitrust and regulatory concerns on the Street,” Ives said in a note to clients.
“With the drumbeat getting louder with the Beltway and Brussels around Big Tech, with Apple caught up in the crossfire, there are clearly some worries on the Street weighing on shares,” Ives said. Apple and the FANG stocks are in the regulatory crosshairs in both the U.S. and Europe.
For now, regulatory worries are a “containable headline risk” for Apple and Big Tech, Ives said.
But the appointment of legal scholar and Big Tech critic Lina Khan to head the Federal Trade Commission has rattled Apple and other major tech firms, Ives said.
MacDailyNews Take: Apple does not have a monopoly – not even close – in any market in which it competes.