At the Glance:
- Apple records the biggest one-day jump of shares of 7%.
- Apple will be further improving its supply chain network.
- Company claims towards the metaverse ambitions are still under work.
Apple Inc has managed to record the biggest-one-day percentage jump, where the shares surged to nearly 7%. These successful results have been after a year and a half of claims of entering the metaverse.
The iPhone maker did suffer some losses in the recent weeks considering the broad selloff in growth and technology stocks. However, it did manage to outperform the estimated results by the analyst.
Apple gathered sales of nearly $124 billion and made a $34 billion profit. These numbers showcase that the tech giant is capable of navigating the global supply crunch amid the crucial holiday quarter.
Despite the supply chain issues, Apple managed to maintain its supply-chain prowess. Its actions and strategies have ranked the company in a better position for this year.
Much Awaited Metaverse
A year and a half ago, Tim Cook, the CEO of Apple had hinted towards the company exploring the concept of the metaverse. He talked about the company investing in 14,000 AR apps supporting the expansion of its library—prompting strong investor response.
There was a spike in price targets for the stock at 11 brokerages. This brings the median price target to $188.5. On Friday, the stock ended at $170.33.
Stocks still under pressure
According to the quarterly report, Apple was the leading contributor to the rally in the NASDAQ (.IXIC) and S&P 500 (.SPX). However, by far in 2022 Apple stock remains down by 4%.
Apple stock is already under a lot of pressure this year as the Federal Reserve is preparing to raise U.S. interest rates. There is still a lot of uncertainty surrounding the tech sector. The uncertainty remains very expensive and with the Federal Reserve’s projection, there is a possibility of unwelcome surprises.