Shares of Apple stock have taken a beating this year, and last week was certainly not any better. Apple shares fell 3 percent by the end of last week on fears that iPhone sales have grown sluggish. The tech giant will release its earnings report on May 1, and any indication that sales are slow could hurt the company’s share price even more. Apple stock has lost all of its gains for 2018.
With a nearly $700 billion market cap, Apple has no rival when it comes to value. When the company sees a significant drop in its share price, many of the major market averages fall as well. Apple is listed on the Dow Jones Industrial Average, the S&P 500 and the NASDAQ. Many of Apple’s rivals fell last week as well, but some of those companies are still hanging on to their 2018 gains.
Amazon rose as much as 7 percent on news the company is working with Best Buy to sell its Fire TVs in the retail giant’s stores. Additionally, Jeff Bezos announced that Amazon has 100 million subscribers to its Amazon Prime membership. Amazon is set to report its earnings this week.
Netflix also saw a 7 percent rise in its share price last week. Netflix issued a strong earnings report, and the company expects to see subscriber growth rise by 7 million during the second quarter of this year.
Alphabet, the parent company of Google, saw its share price increase by 3.5 percent last week. The search engine giant will report its earnings today, and many analysts speculate the company will report continued strengthening in its core business model, search engine advertising. According to some analysts, Google could see a rise in its share price if Apple reports sluggish iPhone sales. The expectation is consumers may start buying smartphones from Google that use the Android operating system.