Apple "has gotten into trouble" as its stock price continues to fall due to grievances with Trump
Apple's stock price has ended a seven-day decline, with its market value slipping from the world's first to third. Recently, Trump stated that he has "a bit of a problem" with Tim Cook and publicly criticized Apple for building factories in India. At the same time, Apple is also facing pressures such as the risk of falling behind in the AI arms race and sluggish growth in the Chinese market
Trump publicly criticized Apple CEO Tim Cook as Apple’s stock price fell for seven consecutive trading days.
According to Bloomberg on May 23, Trump stated this month that he has "a little problem with Tim Cook" and claimed he had asked Apple to stop building factories in India.
Meanwhile, Trump publicly praised NVIDIA CEO for attending the Saudi investment forum, but Tim Cook did not attend the event.
The "conflict" between Trump and Tim Cook may have impacted Apple's stock price. At the beginning of May, Apple was still the world's most valuable company, but it has now dropped to third place.
On May 23, Eastern Time, Apple's stock price fell by 0.36%, continuing its seven-day decline, with a market value evaporating by over $300 billion since the beginning of the month, ceding the global market value crown to Microsoft and NVIDIA.
Trump's remarks towards Tim Cook, which are clearly coercive in nature, have raised alarms on Wall Street. Randy Hare, head of stock research at Huntington National Bank, stated:
Trump's continuous targeting of Apple and apparent dissatisfaction with them is a dangerous signal for me. This does not mean Trump will take further action, but you cannot predict what will happen next, which keeps me cautious.
It is worth noting that Apple also faces pressures such as the risk of falling behind in the AI arms race and sluggish growth in the Chinese market.
Recently, OpenAI announced the acquisition of AI hardware startup founded by Apple's former chief designer Jony Ive, further undermining market confidence in Apple. Analysts generally believe that Apple is lagging in the generative AI field, and its core product lines face disruption risks. Although the CBOE Apple Volatility Index has fallen 38% from its monthly high, it remains near a three-year high, indicating market skepticism about its transformation capabilities.
In addition, Apple's latest financial report shows that revenue from Greater China was $16.002 billion, a year-on-year decline of 2.26%, compounded by the rise of local Chinese brands, putting Tim Cook's "Eastern strategy" to a severe test
