Times are changing for many tech companies. Regulators around the world are looking into how tech companies collect and store data, or how they provide marketing or payment services to third-party providers.
The latest company to take a hit? Apple (AAPL). Last week, a US District Judge ruled that the company need to allow developers alternative payment methods for purchases and apps made in the Apple app store.
The ruling led to an immediate drop in Apple shares on Friday, with a 3.5 percent drop. However, analysts see further risk to the company’s cash flows as limited.
- My #1 EV Stock (NOT Tesla)
I believe this little-known company will be the next EV giant.
Its car is faster than Ferrari's F8, McLaren's 720S and Porsche's 911 Turbo. Yet it's 100% electric.
And while it's a marvel of American engineering...The CEO wants it to be an everyman's car... and plans to ship out 1 million per year.
Already, it's set to grow faster than Tesla, Amazon and Facebook... COMBINED. Sales could DOUBLE to $5.5 billion in 2023... then almost double again to $9.9 billion a year after that.
Simply put, this company could be on the verge of a HUGE run.
The company had been moving towards higher highs in recent weeks, but the move has sent shares back to one-month lows.
Action to take: Shares will likely bounce back in the weeks to come. The company’s financial strength and sales outside of third-party App providers, including the upcoming iPhone 14, will likely lead to shares continuing to move to new highs.
Investors may like shares, although the yield of 0.6 percent is a bit on the low side.
For traders, a recovery in shares in the weeks ahead makes the January $150 calls look attractive. Last going for about $9.40, they can likely deliver mid double-digit earnings of better in the weeks ahead.
Disclosure: The author of this article has a position in the company mentioned here, and may further trade after the next 72 hours. The author receives no compensation from any of the companies mentioned in this article.