Apple Analyst Holds The Line After $300 Billion Rout: What Could Turn Things Around

Core Viewpoint - Apple Inc. has faced significant stock declines due to new tariffs, with a nearly 10% drop leading to a loss of about $300 billion in market capitalization, marking its worst drop since January 2013 [1][2] Group 1: Stock Performance - Apple stock lost 13.7% in market value over two days, the most significant decline since January 2013 [1] - As of the latest check, AAPL stock is down 6.8% at $189.34 [5] Group 2: Financial Impact - Analyst Laura Martin estimates that Apple's earnings per share (EPS) could fall by over $2 on an adjusted basis, a 28% decrease from her current fiscal 2025 EPS estimate of $7.32 [2] - Rosenblatt analyst Barton Crockett estimated potential tariff costs for Apple could reach $39.5 billion, with nearly 100% of iPhones sold in the U.S. manufactured in China [4] Group 3: Market Sentiment and Future Outlook - Wall Street is estimating a 30% chance that Apple will receive an exemption from the tariffs, referencing a previous exemption granted in 2018 [3] - Apple has committed to investing $500 billion in the U.S. over four years, which is expected to create 20,000 new jobs in various sectors [3] - The potential worst-case scenario includes China retaliating by banning Apple product sales, which accounted for 17% of Apple's total sales in fiscal 2024 [4]