Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge. When he's not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.
Apple is currently the most valuable company and also the best performer on the Dow for 2019.
Apple began the year disappointing its investors. On Thursday, January 3, Apple stock (AAPL) hit its 2019 low of $142, a 10% plunge just one day after CEO Tim Cook announced that iPhone sales had begun to decline in China. Since then, AAPL has been performing quite impressively and is now the most profitable stock on the Dow Jones Industrial Average (DIJA) as it has climbed about 70% this year alone, and hit $270.
One of the factors said to be responsible for APPL’s performance is the anticipation of its new iPhone 11 series along with new Airpods, up until it was officially launched. Also, Apple has said that sales of the new products have been much higher than expected, an announcement that also led to a continuous rise in the company’s stock.
Worthy of note is its August trajectory. At some point, AAPL seemed to drop a bit, but not enough to worry for any investors or cause a change in any analysts’ long-term forecasts. The drop, however, became somewhat fortuitous as it seemed that AAPL built a bit of resistance and could absorb shocks a bit more, even when there was some bad news across the entire market.
AAPL seems to however be slowing down now and has receded a little, losing 1.4% on Monday. Currently at $266 at press time, the good news is that it’s still maintaining its position above the 20-day moving average which could mean that it could begin a breakout again possibly above its current highs at $271. However, if things falter and AAPL drops lower than the 20-day moving average, the stock could decline further down to $260 or maybe even less.
For more than a few days now, rumors have spread that Apple is planning a new 5G-enabled phone to be released next year. There are also reports that Apple plans to launch five new iPhones in total before 2020 is over and another one in 2021 which is expected to come without any ports. All of these stories, even though Apple has yet to confirm or deny any, keep the company at the forefront, and keeps the word going.
Some analysts also think that the trade war between the U.S. and China is something to consider. While it is potentially a problematic situation, some believe that so far, the company has handled it quite well. D.A. Davidson analyst Tome Forte has said that Apple has succeeded in “minimizing the impact of tariffs on its business” especially because “it is the only company with the muscle to effectively lobby both the U.S. and Chinese governments because of its influence in both countries.”
In other non-stock Apple news, the wait for the company’s new Mac Pro desktop is slowly coming to an end, even though no one is exactly sure when it will end. First announced at the Apple Worldwide Developers Conference (WWDC) back in June, pre-orders for the long-awaited desktop begins today, on December 10, at $5,999. Its 6k Pro Display XDR monitor is sold separately at $4,999 which means that customers will have to spend up to $11,000.