Apple's market value falls below $2 trillion

Apple's market value falls below $2 trillion a year after the iPhone maker hit a $3 trillion market cap

Apple Inc.'s stock market value slumped sharply on Tuesday after its steep decline over the past year, leaving it below $2 trillion for the first time since March 2021. The sell-off came a year after the iPhone maker became the first company to reach the $3 trillion market cap milestone. 

Apple's shares fell 3.7% to $125.07 after Exane BNP Paribas analyst Jerome Ramel downgraded the company to “neutral” from “outperform” and lowered its price target to $140 from $180, according to Refinitiv Eikon.

Nikkei also heightened investor concerns that a slowing global economy and high inflation could hurt demand for Apple devices, and citing unnamed suppliers, reported that Apple has instructed suppliers to cut back on parts for its earbuds, watches, and laptops to manufacture. 

The fall in Apple's stock price brought its market cap to $1.99 trillion, just ahead of Microsoft Corp, which is valued at about $1.8 trillion. Ramel lowered its fiscal 2023 iPhone shipment targets to 224 million units from 245 million units, reflecting problems in manufacturer Foxconn's supply chain and cuts in spending by consumers.