Apple shares are coming off their longest sell-off in more than three years as escalating attacks from the White House threaten to further erode the company’s profit outlook, suggesting the stock’s struggles this year are far from over.
U.S. President Donald Trump on Friday threatened to levy a 25% tariff on the company’s products if it doesn’t shift iPhone production to the U.S. Shares fell 3% to end the week, their eighth straight negative session, the longest such sell-off since January 2022. The stock rose 1.7% on Tuesday.
Some analysts are skeptical that the tariffs will come to pass, but any movement in this direction will put the company in a position where it either has to absorb the higher costs, weighing on its earnings and margins, or pass along higher prices to consumers, which could erode demand at a time when Apple is already struggling with tepid growth and difficulties with its artificial intelligence offerings.
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