{"id":296015,"date":"2025-05-02T16:09:29","date_gmt":"2025-05-02T16:09:29","guid":{"rendered":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/05\/02\/apple-shares-slide-as-tariff-woes-prompt-cut-in-buyback-program-times-of-india\/"},"modified":"2025-05-02T16:09:29","modified_gmt":"2025-05-02T16:09:29","slug":"apple-shares-slide-as-tariff-woes-prompt-cut-in-buyback-program-times-of-india","status":"publish","type":"post","link":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/05\/02\/apple-shares-slide-as-tariff-woes-prompt-cut-in-buyback-program-times-of-india\/","title":{"rendered":"Apple shares slide as tariff woes prompt cut in buyback program – Times of India"},"content":{"rendered":"
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Apple shares<\/a> dropped 5% on Friday after the company reduced its stock buyback program<\/a> by $10 billion and CEO Tim Cook<\/a> revealed a $900 million hit to costs this quarter due to escalating US-China trade tensions<\/a>.
According to Reuters, the move comes amid growing uncertainty fuelled by US President Donald Trump’s tariff policies<\/a>, which have disrupted corporate planning even for giants like Apple and Microsoft.
As of 10:25 am GMT-4, Apple shares were trading at $206.69, down $6.63 or 3.11% .
The iPhone maker reported quarterly revenue of $95.36 billion and earnings of $1.65 per share, narrowly beating expectations. However, it offered a cautious outlook, forecasting low-to-mid single-digit revenue growth.
Apple\u2019s reduced buyback authorization\u2014$100 billion this year compared to $110 billion last year\u2014marked an unusual step back in its capital return strategy, which typically sees stable or rising repurchases. Analysts saw this as a sign of Apple\u2019s intent to preserve cash in an unpredictable environment.
Cook noted that most Apple devices sold in the US this quarter would be manufactured outside China, with the company accelerating its supply chain diversification efforts. iPhone assembly is increasingly shifting to India, while chip sourcing from the US is expanding. Apple is also investing in manufacturing hubs across Texas, Arizona, and Oregon.
Despite a slight beat on revenue expectations in China with $16 billion, Apple faces intensifying competition from Huawei and slower-than-expected AI adoption. If Friday\u2019s losses hold, Apple stands to lose more than $150 billion in market value, allowing Microsoft to reclaim its position as the world\u2019s most valuable company.
Analysts have warned that US tariffs on China could eventually force Apple to raise iPhone prices, although a last-minute exemption for consumer electronics has offered temporary relief. Cook admitted the company\u2019s historical reliance on Chinese manufacturing had become a liability, prompting the broader strategic shift.<\/div>\n