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Apple shares dip on analyst note, EU charging port talks
STORY: Shares of Apple fell more than 4% Friday morning, a big move lower for the tech giant, after a research note from Morgan Stanley said Apple’s App Store is showing signs of slowing growth.Analyst Katy Huberty said in a research note to clients Friday: “While we are bullish on the longer-term App Store and Services outlook, a deceleration in App Store growth (and monetization) could be a near-term headwind to results.” Huberty added that the decline likely points to fading consumer spending on goods and services that accelerated during the global health crisis.Also weighing on the stock was a report that EU countries and lawmakers were set to agree on a common charging port for mobile phones, tablets and headphones on June 7, a proposal that has been fiercely criticized by Apple.That’s according to people familiar with the matter, who also said the meeting next week will be the second and likely the final one between EU countries and EU lawmakers on the topic, an indication of a strong push to get a deal done.Finally, a report from Bloomberg on Thursday said Apple will make work schedules for retail staff flexible, as the company looks to appease employees amid a push by workers towards unionization.Apple did not immediately respond to a Reuters request for comment about improving worker conditions.Shares of Apple have fallen more than 18% this year, and Friday’s decline weighed most on the broader stock market, with the S&P 500 falling nearly 2% in late morning trading.
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