Apple shares fall; market cap tumbles below $400B
Baku, March 6 (AZERTAC). Apple`s market cap -- a measure of the value of a company -- is now below $400 billion.
The company passed the milestone as Apple`s shares fell 2 percent in trading this morning and the decline continued through the day to a closing price of $420.05, a drop of 2.4 percent from Friday`s closing price. At that share price, Apple`s market cap is now $394.45 billion. The company`s valuation hasn`t been that low since late 2011.
Apple`s share price has been on a steady decline over the last several months. In the last six months alone, the price has gone down more than 37 percent. Its 52-week high of $705.07 seems like a distant memory at this point.
At a shareholder meeting last week, Apple CEO Tim Cook responded to a question about his company`s slumping stock price, saying he doesn`t "like it either." He didn`t say, however, what he might do to turn things around.
Whether it`s really cause for concern, though, is up for debate. In an interview with CNBC`s Squawk Box this morning, famed investor Warren Buffett said that CEOs "can`t run a business to push the stock price up on a daily basis," adding that his own company, Berkshire Hathaway, "has gone down 50 percent four times in its history."
"When that happens, if you`ve got money you buy it," he said. And, well, Apple does have $137 billion in its cash reserve, a fact that helped propel the Greenlight Capital insurgency that just came to an end after several contentious weeks.
Buffett is not an Apple shareholder.
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