Apple shares plummeted again on Monday after two suppliers lowered their earnings forecasts. Investors have interpreted it as another sign that weakens demand for iPhones.
Stocks fell for the third consecutive year, dropping nearly 5% and drawing broader technology areas.
At lunch in New York, Apple shares were trading at about $ 196 (€ 174.40), with October peaking at $ 232 each.
Recent stock price declines mean Apple has lost market cap of $ 190 billion (market cap of $ 160 billion), which is higher than the overall market value of large US companies such as Walt Disney, PepsiCo and McDonalds. On Monday, Apple generated more than $ 40 billion (€ 35.5 billion) in market value.
The S & P 500's information technology sector fell more than 3 percent, and the US stock market index more than doubled.
Randy Frederick, Vice President of Trading and Derivatives at Schwab, says "Apple is a leader." There is a perception that every time Apple appears to be struggling for some reason, it will affect other technology companies. It may or may not be true, but it is perceptual. "
The latest slide comes after Lamberum Holdings, a 3D sensor supplier that provides face recognition technology in Apple's latest iPhones, unexpectedly cut its prospects for the second quarter of fiscal year.
"We recently received a request for a laser diode for 3D sensing in one of our largest industries and customers and was asked to significantly reduce shipments during the second quarter of the fiscal year for previous orders that were due for delivery this quarter. Alan Lowe, chairman and chief executive officer.
Lumentum did not reveal Apple as an Apple customer, but Japan Display, one of the major suppliers of the iPhone LCD (Liquid Crystal Display) screen, is "fluctuating customer demand".
Lumentum shares fell more than 30% in New York trading, while Japanese displays remained unchanged.
Apple shares have been under pressure to sell for the past two weeks as investors have asked more and more about the growth prospects of the world's most valuable companies.
Since the announcement of disappointing outlook for the upcoming holiday season, the stock value will not exceed $ 1 trillion on January 1, and the sale of the iPhone, iPad and Mac will be stopped unexpectedly.
This has raised concerns that the company's demand for smartphones has peaked. JP Morgan analysts predict that Apple's smartphone shipments will decline year-on-year in 2018 and 2019 on Monday.
Because Lumentum provides a 3D sensor used in Face ID systems, Apple's high-end iPhone sales are particularly strong. Face ID was introduced on iPhone X last year, but has been expanded throughout the product lineup, including the new iPad Pro, which was unveiled last month.
But Lumengtum is also owned by other smartphone customers such as Huawei. Overall, the smartphone market is experiencing difficulties due to a decline in demand from Chinese consumers, and Apple has pointed to a decline in spending in India, Russia and Turkey.
Chip makers are under pressure Monday as senior executives at semiconductor group Infineon Technologies show signs of slowing the economy across the sector.
Reinhard Ploss, Chief Executive Officer of Reinhard Ploss, said in September that Infinion faced a "challenging" market and that its revenue growth would fall by more than 9% More than.
Infineon shares dropped 7.8% in Europe, while in the US, Advanced Micro Devices dropped more than 8% in lunchtime trading, NVIDIA fell 7% and Intel fell 2%.
Schwab's Frederick said, "One chip manufacturer's comments will be leaked to some chip makers." "Chip makers are a group that moves in a line because it is a sort of commodity from a technical point of view." – Copyright The Financial Times Limited 2018