Most blue chip tech stocks and Consumer Discretionary stocks have seen their share price performance plummet. Amazon, Best Buy, Target - all meaningfully down and closer to their pre Covid prices. Retailers have observed softer sales in higher end goods. Inventory levels are reportedly high, and people ain’t spending. Consumer confidence and savings are all down. Yet Apple stubbornly remains nearly 80% higher than its pre-covid. Apple makes the majority of its revenue from iPhones and Services (presumably cute little apps being sold / in app purchases). For some reason, the market believes people in a recession won’t buy as many appliances, TVs, go on fewer vacations, but they’ll still buy the next new iPhone? I call bullshit and am shorting.
Even the homeless in America have iPhones these days
Spare shares, spare shares anyone
Well apple literally has so much cash they do not know what to do with it, which makes them a great stock to hold during uncertain times
That cash is losing its value
True but it does set them up to be aggressive in times when other companies have to cut back
Apple has ability to increase prices without destroying demand. How many others can say this?
BlackBerry had about a ~20% market share during the financial crisis. Stock dropped 50% from ATH during that recession. They were basically best in class mobile handset at the time. Ask a boomer if you’re not of that era. Comparatively, Apple has about ~20% global market share today, meaningfully higher ofc in the US. Except we’re in a real global recession this time (whereas ‘08 was mostly an American problem). And the American consumer will get disproportionately crushed again this time around.
Interesting argument, although I might argue Apple’s consumers are either adequately capitalized or will sell a kidney to refresh their device.
You first
Plz no
Positions or ban
Proof or ban