Why Shares of Apple Are Sinking Today

From Nasdaq: 2025-05-02 11:57:00

Shares of Apple (NASDAQ: AAPL) dropped 4% after reporting earnings. Trade talks between the U.S. and China boosted most stocks, but tariffs still weigh on Apple. Analysts are getting bearish on the stock as Apple faces $900 million in tariff expenses this quarter.

Despite beating estimates, Apple’s second fiscal quarter earnings and revenue were impacted by tariffs. iPhone revenue exceeded expectations by $1 billion. Analysts have downgraded the stock due to tariff uncertainties affecting the company’s growth potential.

Apple’s stock rebounded after Trump’s tariff pause, but challenges remain. The tech giant may not receive a full exemption from tariffs, affecting its future performance. While Apple may perform well in the long term, current challenges may limit its near-term potential.

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