Why Apple Stock Lagged the Market on Monday
A global bank maintained its equivalent of a sell recommendation in a new research note.
It enumerated three reasons not to buy the stock.
10 stocks we like better than Apple ›
An Apple (NASDAQ: AAPL) bear weighed in on the monster tech stock Monday morning, and it seems at least a few investors were taking its latest analysis to heart. They unenthusiastically traded the company's stock that session, weakly pushing it only 0.5% higher. Meanwhile, the benchmark S&P 500 index closed the day 1.5% in positive territory.
Barclays is quite the bear
In its new Apple take, Barclays reiterated its existing underweight (read: sell) recommendation on the iDevice maker. This, despite enacting a slight raise in its price target to $180 per share from the preceding $173.
According to reports, Barclays' continued pessimistic outlook on Apple stems from three key factors.
The first is the inherent weakness in the company's foundational hardware business. Growth in such products has been modest, and the bank's analysts pointed out that the seemingly robust growth in the company's just-reported fiscal third quarter was due to factors such as forward purchasing ahead of anticipated tariffs.
The second is China, a crucial market for Apple. Barclays believes that intensifying competition will threaten the company's market share in the sprawling Asian nation.
Concerned about regulators
Finally, the bank is wary about potential regulatory difficulties Apple might have in its Apple Services segment. With increased scrutiny and regulatory action around app marketplaces like the App Store, the company could be hit with rulings that reduce its take from this lucrative revenue stream.
Last week, Alphabet 's Google suffered a notable legal defeat when its appeal against an unfavorable ruling in a case centered around its Google Play was rejected. Both regulators and courts seem to find the highly advantageous conditions of marketplaces like Google Play and the App Store distasteful.
Should you invest $1,000 in Apple right now?
Before you buy stock in Apple, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Apple wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $624,823!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,064,820!*
Now, it's worth noting Stock Advisor's total average return is 1,019% — a market-crushing outperformance compared to 178% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of August 4, 2025
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Globe and Mail
33 minutes ago
- Globe and Mail
Future of India – Forecast to 2035: Trends, Key Players Analysis, Regional Trends, Competitive Landscape, and Industry Potential
Future of India - Forecast to 2035. The MarketsandMarkets research report " Future of India - Forecast to 2035" provides a thorough examination of the megatrends driving India's expansion by that year. It also goes into great detail about the prospects for expansion in India, which is expected to have the third-largest economy in the world by 2030. India is predicted to surpass Germany and Japan and establish itself as the world's third-largest economy by 2030. Demographic advantages and current reforms are projected to fuel this steady momentum, solidifying India's position to reach a USD 30 trillion growth trajectory by 2047. Download PDF Brochure@ India's unmatched economic growth stands out globally, with the country consistently recording the fastest GDP expansion among major economies. India is projected to surpass Japan to become the fourth-largest economy by 2026. Even as global uncertainties and election cycles create short-term headwinds, upward revisions to past GDP figures highlight the underlying strength and resilience of India's economy. Strong macroeconomic fundamentals, demographic advantage, urbanization drive, expanding capital market, and a focus on structural reforms provide a credible foundation for this long-term growth trajectory. The massive economic growth of the country is expected to drive the expansion of several top industries, transforming its economic landscape. This report deep dives into top industries that are not only contributing to India's GDP growth but also positioning the country as a global economic powerhouse. Information Technology (IT) and Digital Services India is the world's third-largest and fastest-growing digital economy, expanding at 2.8x the pace of GDP growth and set to reach USD 1 trillion (20% of GDP) by FY2027. This industry is the backbone of India's economy, contributing significantly to GDP and exports. Growth is fueled by global demand for tech services, widespread digital adoption, and investments in advanced technologies like AI, 5G, and cloud computing. The Indian data center market is set to reach over USD 15 billion by 2030, growing at a CAGR of 15% during 2023-2030. Request Sample Pages@ Automobiles and Electric Vehicles (EVs) The automobile industry is transitioning toward electric and hybrid vehicles, supported by government incentives and rising consumer demand. By 2030, India's EV sales are projected to reach 1.1 million units for passenger vehicles, 104.5k for commercial vehicles (including buses), 13 million for electric two-wheelers, and 1.35 million for electric three-wheelers. The growth is likely to be driven by favorable policies, expanding charging infrastructure, growing consumer readiness, rising fuel costs, and sustainability goals. The auto components industry is also witnessing robust growth due to the shift to EVs and the Production-Linked Incentive (PLI) scheme. Energy and Oil & Gas India is the third-largest producer of renewable energy globally, driven by ambitious government policies (such as the National Solar Mission), falling technology costs, and a national push toward sustainability. By 2030, the share of renewables in the total energy mix is projected to be nearly 20%, unlocking opportunities valued at USD 360 billion. India aims for 500 GW of renewable energy installed capacity by 2030, including a significant focus on solar power with a target of 292 GW. India's economic growth is not only expanding existing markets but also creating new ones, particularly in technology, clean energy, healthcare, and digital infrastructure. These trends are expected to continue, offering diverse opportunities for investment and employment across the country's top industries. The report delves into more than 10 such significant industries that are experiencing the most prominent expansion and offer substantial prospects for investors, entrepreneurs, and professionals.
Globe and Mail
an hour ago
- Globe and Mail
Think It's Too Late to Buy Stock in This Leading Financial Company? Here's the Biggest Reason Why There's Still Time.
Key Points Robinhood delivered fantastic results for the second quarter. It's releasing new features at a fast pace. 10 stocks we like better than Robinhood Markets › Robinhood Markets (NASDAQ: HOOD) stock is up 500% over the 12 months ending Monday. It's no longer solely the home of the meme investor, and it offers a wide assortment of financial services for customers. You may have missed this past year's gains, but you haven't missed out on the chance to buy Robinhood stock. Here's why. Offering customers more Robinhood's core product is no-fee investing. That's how it burst onto the markets a few years ago and quickly became the go-to platform for retail investors. Today, it has become a solid player in the financial system, building on that base layer to offer a broad range of investing tools as well as wealth management services and even a credit card. Users enjoy its easy-to-use platform that makes trading simple, and its gold members, who pay $5 monthly or $50 annually for an assortment of perks, are rapidly increasing in number. Robinhood released its second-quarter earnings on July 30, and there were confidence-boosting results. Revenue increased 45% year over year to $989 million, and net income increased 106% to $386 million. It added 2.3 million "funded customers" over the past four quarters, or a 10% increase, to 26.5 million, and gold members increased 76% year over year to 3.5 million. This is a story that's far from over. Not only is Robinhood gaining momentum, but it's constantly launching new products to generate interest and revenue. In fact, in the second quarter, it acquired currency exchange Bitstamp, rolled out several new features in some European markets, introduced new cryptocurrency capabilities, and announced a deal to acquire WonderFi. Robinhood stock isn't for the risk-averse investor, but it has a long growth runway as it brings out new and innovative financial services, and it could be an exciting candidate if it fits your risk profile. Should you invest $1,000 in Robinhood Markets right now? Before you buy stock in Robinhood Markets, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Robinhood Markets wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $631,505!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,103,313!* Now, it's worth noting Stock Advisor's total average return is 1,039% — a market-crushing outperformance compared to 181% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 4, 2025
CTV News
2 hours ago
- CTV News
Small public companies snap up ether in new crypto gold rush, even as risks linger
An advertisement of Bitcoin, one of the cryptocurrencies, is displayed on a building in Hong Kong, on Nov. 18, 2021. (AP Photo/Kin Cheung, File) Some companies are favoring ether over bitcoin as an inflation hedge as the cryptocurrency hits a sweet spot between affordability and credibility, while being underpinned by a strong blockchain backbone. Corporate treasuries held at least 966,304 ether tokens on their balance sheets at the end of July, worth nearly US$3.5 billion, according to a Reuters analysis of regulatory filings and disclosures. That compares with just under 116,000 at the end of 2024. The second-largest cryptocurrency has become the token of choice for those looking for more active returns. Unlike bitcoin, which solely relies on price appreciation, ether can be used in staking, a practice where holders lock up their tokens to support the ethereum network in exchange for rewards. Staking can offer yields of about three to four per cent. 'Ether balances growth potential with the legitimacy of a blue-chip asset. It is large enough to be institutional-grade, yet early enough in adoption to benefit from future upside,' said Sam Tabar, CEO of Bit Digital, which has ether on its balance sheet. The cryptocurrency also powers the ethereum blockchain, which supports a wide range of applications including lending platforms, trading protocols and stablecoins, making it a core component of the crypto financial system. 'Holding ether is more like owning oil, whereas bitcoin is more one-dimensional, like gold. Ether is the foundation of decentralized finance, not just a pure store of value,' said Anthony Georgiades, general partner at VC firm Innovating Capital. Still, challenges such as regulatory uncertainty and price volatility, which affect the assets' fair value, continue to hinder adoption. Caution amid hype After disclosing plans to accumulate ether earlier this year, shares of Peter Thiel-backed BitMine and gaming media network GameSquare jumped as much as 3,679 per cent and 123 per cent, respectively, underscoring how eager investors are to chase crypto-linked momentum. But analysts have cautioned against unfettered optimism. 'The share price response has the hallmarks of the meme craze,' said Dan Coatsworth, investment analyst at AJ Bell. The inherent volatility of crypto tokens also makes it a poor fit for boards with a low risk appetite, which could curb ether's appeal beyond core industry players. 'Most CFOs would not swap liquid cash for ether. It remains a niche tool best left to 'tech-forward' treasuries that can tolerate swings and complexity,' said Anuj Karnik, founder and managing director at Straitsberg, a Singapore-based treasury advisory firm. 'Treasury best-practice values liquidity, predictability and regulatory certainty above all. Most corporate leaders view crypto holdings today as experimental 'alternative' allocations, not mainstream policy.' Also, while the Securities and Exchange Commission has softened its stance on staking activities, the regulatory framework around the practice is still evolving. Key questions include whether rewards should be taxed as income, how to treat locked tokens on balance sheets and whether offering staking services could trigger custodial obligations. 'Every staking reward could be landing in a compliance gray zone,' said Michael Ashley Schulman, partner and chief investment officer at Running Point Capital Advisors. Still, despite the risks, some companies continue to double down, raising capital through share sales or debt offerings to fund their ether purchases. BitMine sold a US$182 million stake to Cathie Wood's ARK Invest in July. GameSquare CEO Justin Kenna also told Reuters his company might sell stock to invest in ether. 'We're not in the business of being overly dilutive. But we'll continue to be opportunistic,' Kenna said. --- Reporting by Manya Saini and Niket Nishant in Bengaluru; Editing by Anil D'Silva
