Apple Stock Slumps Amid Restructuring Concerns
Apple's stock fell by 2.66% on September 29 to close at $329.40, losing support at $333 and ending below its September 22 all-time high of $345.34.
The decline was specific to Apple, with the company posting the weakest session in the electronic technology sector while chipmakers like Broadcom and Micron rose.
Credit for the drop goes to a series of reports and concerns: CEO John Ternus plans to cut middle management and engineering program manager roles, potentially scrapping Apple's fixed spring and fall launch calendar, according to Bloomberg. Additionally, Bank of America analyst Wamsi Mohan flagged Meta's Muse AI agent as a threat, warning that Apple could maintain device sales but lose shopping and referral activity.
Apple's high valuation also adds pressure: the company trades at 37.8 times trailing earnings, above its five-year median of 31. UBS holds a Neutral rating with a $296 target.