Finance

Why did Apple’s stock price drop, even after the release of the new iPhone SE?

Earlier this year, Apple had launched the new iPhone, the iPhone SE generation 2. This was made to be the successor of the previous iPhone SE that had been on sale for many years. However, the sales could not be as profitable for the second generation of iPhone SE as its predecessor because of the global pandemic interfering with the productions of the new iPhone. It has increased the number of worries because of the drop in the revenues of Apple.

About the iPhone SE 2nd generation

The iPhone SE was manufactured to be sold at a price of $399. It was meant to be purchase as an alternative through the iPhone 11 which was released last year. The iPhone SE 2nd generation was vital to be the next affordable phone of the year. The online orders for the new iPhone SE 2nd generation what to begin from Friday in April and for the set up deliveries of the iPhones was expected to be around the end of April.

But because of the recent outbreak of the global pandemic, the stock market for Apple with respect to the iPhone SE was not much of a success. The ceased operations for the production of the Apple products resulted in a negative stock market result for Apple and its investors.

What about the other expensive products of Apple?

The expensive product of Apple is said to be even difficult to sell because of the economy of various countries across the globe plunging and reaching the lowest points. And besides the expensive products of Apple, the brand new iPhone SE 2nd generation is not going well with the economic situation across the globe as well.

This is the reason why the economic situation causes the AAPL stock price to drop as well especially for the new launching of the iPhone SE 2nd generation many factors have contributed to it as well, such as:

–     Remarkable delay in the production of the Apple products including the iPhone SE

–     Inability of the people being able to afford the Apple products because of economic instability across the globe

–     Unemployment being faced by people because of the outbreak of the pandemic has also resulted in people not being able to buy all offered evenly “budget phone” of Apple.

Nevertheless, we still can say with the hope that this economic issue which has been going around globally, will soon be able to recover from the pandemic regardless of being all-time low at the moment. You check more information like income statement at https://www.webull.com/income-statement/nasdaq-aapl before investing.

Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.

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