Apple Stock Declines on Cautious Guidance
Apple's stock has declined by over 10% in four trading sessions, falling to around $305. The decline is largely due to concerns specific to the company, rather than a broader market downturn.
The technology giant reported record revenue of $109.4 billion for its fiscal third quarter, up 16% year-over-year, with diluted earnings rising 29% to $2.02 per share.
However, the results were overshadowed by Apple's cautious guidance, which projected September-quarter revenue growth of only 9-11%, below analysts' expectations of around 12%. Services revenue also missed estimates at $30.7 billion, with annual growth slowing to 12%.
The company warned that supply constraints and rising memory prices would become more significant during the current quarter, affecting iPhone, Mac, and iPad businesses, and potentially limiting Apple's ability to meet demand while compressing margins.