Apple's stock fell Monday after news broke that its PC shipment dropped by 40% in the first three months. Micron Technology (MU), and Western Digital, (WDC), benefited from Samsung's disclosure of its reduced memory chip production. Both MU and WDC stocks surged.
Apple (AAPL), according to the market research firm IDC, saw its personal computer shipment decline by 40.5% in the first quarter to 4.1 millions. IDC reported that global shipments dropped 29%, to 56.9 millions.
Lenovo and Dell both reported drops of over 30%.
Apple shares fell 1.6% today to close at 162.03 in the stock market.
MU's stock rose 8% on Monday to 63.27. WDC's stock rose 8.2%, finishing at 38.04 after Samsung announced late last week that it was cutting its memory chip production.
Srini Pajjuri, an analyst at Raymond James, said in a client note that "Samsung’s actions confirm our view that the firm is not aggressively chasing share of market". He noted that Samsung controls about 45% market share of memory chips.
Pajjuri said, "We are confident that the severity and duration of the current downturn in the industry will lead to a structurally improved supply discipline going forward."
Micron's stock has gained 17 percent in 2023. Western Digital's stock is up 11% in 2018.
Apple's stock was up 27% by 2023, as of the Thursday market close.
Reinhardt Krause is on Twitter @URL. Follow him for the latest updates on 5G wireless technology, artificial intelligence and cybersecurity.
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Investor's Business Daily published the article Apple Stock Falls on Lower PC Shipments, Micron and WDC Pop on Memory Chip Cut.