Apple Crumbles

Apple is still the most valuable company in the world, retaining its $2 trillion market cap status despite the rout in the stock market.

Aramco is the only other $2 trillion dollar club member which has largely benefited from the rise in oil price over the past year.

Microsoft, Alphabet and Amazon are in the $1 trillion dollar club while Tesla and Meta have lost that status.

Speaking about Meta, it was the worst performer in the group this year. Here are their year-to-date returns:

• Apple -22%

• Microsoft -29%

• Alphabet -33%

• Amazon -33%

• Tesla -33%

• Meta -60%

Meta's loss was worse than Bitcoin's 57% drop. This is unbecoming for a big tech.

Meta is also the first big tech to announce headcount reduction. Hiring freeze, team reorg and lay offs are happening. Zuckerberg said the company will be smaller in 2023. This is the first time since 2004 (18 years) that Meta has shrunk.

Apple on the other hand, was the most resilient big tech and its decline of 22% was less than the S&P 500 index drop of 24%.

But Apple's fort-holding ability buckled as the stock cratered 4.9% yesterday. Market commentators attributed the drop to a rating downgrade by a Bank of America analyst.

It was likely more than that.