Although Apple Inc. (NASDAQ:AAPL) is still considered the world’s most valuable company, that wealth has decreased over the past several months.
On Thursday, Apple Inc. (NASDAQ:AAPL) stock fell 2.1%. Apple has been pushed below the $500 billion market cap that it reached earlier this year. Despite the loss, Apple is still over $100 billion ahead of Exxon Mobil Corporation (NYSE:XOM), in terms of market cap. Apple Inc. (NASDAQ:AAPL) is also far ahead of their top competitors Google Inc (NASDAQ:GOOG) and Microsoft Corporation (NASDAQ:MSFT), regards to the same metric. Apple Inc. (NASDAQ:AAPL)’s stock declined over $170 per share in the last two months, a significant fall from their highest share price of approximately $705. The company’s market cap fell from its peak of around $660 billion.
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What is the prime reasoning behind Apple’s recent slip? Some say it’s the fact that Apple Inc. (NASDAQ:AAPL) didn’t sell as many iPhone 5’s as they hoped they had. Others speculate, that it might have been their poorly designed iOS 6 maps application, which also led to the departure of two executives, including Scott Forstall.
Apple’s small fall is really nothing to worry about many believe, especially since their products are still selling well and their new iPad Mini is poised to be a big seller this upcoming holiday season. It’s normal for companies to slip every now and then, and it doesn’t look like they really have a problem.
The only concern I think Apple Inc. (NASDAQ:AAPL) may need to focus on at this point is the need to reassess Foxconn’s business practices. The company didn’t make enough iPhone 5 devices to meet the demand, and the same thing happened with the iPad Mini, as the preorders sold out within the first two days it was available. If Apple cannot keep up with demand the next time they release a new product, they might create a problem for the brand.
Hopefully, they are learning from their mistakes and are making the necessary changes to prevent that from happening again. Apple Inc. (NASDAQ:AAPL) is a smart company and many long term investors see the recent drop as merely a hiccup.