Apple Has Lost $229 Billion in Market Cap Since Its September High — Here's What's Next

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Apple shares bounced back Thursday, but losses since its record highs remain sharp.

The stock has fallen 9% since that September peak, shedding roughly $229 billion in market cap. That's equivalent to the market cap of 94% of the S&P 500 companies. Most recently, the shares dropped on reports it would cut iPhone production in response to a shortage of chips.

Nancy Tengler, chief investment officer at Laffer Tengler Investments, has been a long-term holder of the name.

"We became shareholders in 2013 when the yield on the stock rose above 3% which was also well above the yield on the 10-year, and we did that because we liked the services model and we thought that was being undervalued by the market," Tengler told CNBC's "Trading Nation" on Wednesday.

While the firm still holds its position, it has reduced its exposure to around 2% of total holdings. After this recent sell-off, Tengler said it could be time for investors to add to their own position.  

"At this level, if you're not as valuation sensitive as we are at Laffer Tengler, you probably do want to view this as an opportunity to at least initiate a position or add to holdings," she said. "The reason is this is a supply chain problem; it's not a demand problem, and we think [CEO Tim] Cook and company have that well in hand so I would say this is a time to add to holdings if you're a buyer."

Jeff Kilburg, chief investment officer at Sanctuary Wealth, sees the latest weakness tied to the chip shortage as just background noise for Apple.

"These semis shortages are expected but nonetheless if we see Apple deliver 10 million less iPhones, I think that is just splitting hairs. At the end of the day, we are seeing the 200-day moving average at $135 and I think that presents a great opportunity," Kilburg said during the same interview.

Apple traded at $143 on Thursday afternoon. A decline to $135 implies 6% downside.

"It's an essential name that you have to own and they've presented a nice little pullback here so I think you absolutely embrace it with open arms," Kilburg added.

Disclosure: Laffer Tengler Investments and Sanctuary Wealth hold AAPL.


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