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AAPL, MSFT Stocks Down 10%, Sell-Off Threatens Apple and Microsoft Trillion-Dollar Values

Summary:
Apple and Microsoft have lost around 0 billion each during the latest market sell-off over the last month. Analysts weigh in suggesting Microsoft a better buy over Apple at this stage.There’s bloodbath on Wall Street this week with almost all indices crashing to the tune of 5% and above every single day. While the Dow Jones crashed 10% on Thursday, bluechip company stocks also came tumbling down. Tech giants like Apple Inc (NASDAQ: AAPL) and Microsoft Corporation (NASDAQ: MSFT) have also taken a massive beating on Thursday.The Apple (APPL) stock crashed 10% slipping below 0 levels. Similarly, the Microsoft (MSFT) stock also crashed 10% slipping below 0 levels. In less than a month’s time, both Apple and Microsoft have eroded %excerpt% billion of its market cap individually.On Thursday

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Apple and Microsoft have lost around $400 billion each during the latest market sell-off over the last month. Analysts weigh in suggesting Microsoft a better buy over Apple at this stage.

There’s bloodbath on Wall Street this week with almost all indices crashing to the tune of 5% and above every single day. While the Dow Jones crashed 10% on Thursday, bluechip company stocks also came tumbling down. Tech giants like Apple Inc (NASDAQ: AAPL) and Microsoft Corporation (NASDAQ: MSFT) have also taken a massive beating on Thursday.

The Apple (APPL) stock crashed 10% slipping below $250 levels. Similarly, the Microsoft (MSFT) stock also crashed 10% slipping below $140 levels. In less than a month’s time, both Apple and Microsoft have eroded $00 billion of its market cap individually.

On Thursday closing, Apple (APPL) was trading at a price of $248 with a market cap of $1.09 trillion. Similarly, Microsoft was trading at $139 with a market cap of $1.06 trillion. This market mayhem has brought the two companies on the edge of their trillion-dollar valuations. One more bad trading session and we could possibly both these companies below $1 trillion.

The concerns with coronavirus spread have been aggravating every single day leaving world leaders clueless. Other trillion-dollar companies who are now out of this bracket include Amazon.com Inc (NASDAQ: AMZN) and Google-parent Alphabet Inc (NASDAQ: GOOGL).

Analysts Bullish on Microsoft over Apple

Analysts are saying that it won’t be a great time to buy Apple at this time concerning the future scenarios. Piper Sandler’s technical research analyst Craig Johnson said that Apple might be a “good company” but not a “great stock” at this time. Over the last year, APPL stock has shown a “parabolic” movement on the north side.

Besides, historical trends suggest that when charts are up at a “steep ascent” the reversal can end “badly”. Johnson suggests that Apple’s next support is at 10% to 20% down from these levels. That would be a good point of entry as per him.

Laffer Tengler Investments CIO Nancy Tengler said that she has been selling Apple stock when the market was ultra bullish last year. “I think the company has a lot of levers to pull,” she said. “I would wait for the stock to pull back a little bit and then I’d be stepping back in and expect a big dividend increase next quarter.”

On the other hand, Apple has already cautioned investors of not meeting its next quarter targets due to disruption in its supply chain. This could be another reason to hold-your-horses before jumping in at this point.

Microsoft looks a better buy at this stage with its cloud computing division likely to continue growing further and with little impact of Coronavirus. This means that Microsoft’s bottom-line could possibly be better off at this stage in comparison to Apple.

Business, Markets, News, Stocks
Bhushan Akolkar
Author: Bhushan Akolkar

Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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