Though still undeniably a tech heavyweight, Apple seems to have lost its luster – both among consumers and in the investment world. Earlier this month, TechCrunch reported that Android had made considerable headway in the realm of smartphones, accounting for 52 percent of the U.S. marketshare based on figures released by Kantar Worldpanel on July 1. Though the new report concedes that Apple's recent partnership with T-mobile will likely help the iconic brand maintain a healthy standing in this arena, it's clear that the company that could seemingly do no wrong is starting to slip.
So, what does this mean for investors? Simply that Apple is no longer the sure thing it once was. Forbes contributor and investment analyst Bert Dohmen has chronicled the organization's faltering market standing since its stock prices reached an impressive peak of $705 in September 2012, and – in contrasting the figures from the current fiscal year and the last – the analyst does not paint a compelling picture for anyone considering further investment in the widely beloved brand.
"Apple is still a good company with good products. But during the great growth period it had virtual monopolies on its products such as the iPod, iPhone and iPad. Profit margins were sky high. Now there are many competitors for these products," writes Dohmen.
Citing a 10 percent decline in profit margins over the course of a year and a quickly diminishing growth rate, Dohmen argues that there are few objective reasons remaining to back the brand.
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Categories: Stock News