The Magnificent 7 technology stocks that include Apple (AAPL), Microsoft (MSFT) and Alphabet (GOOGL) collectively lost more than $800 billion in market capitalization on April 3 as the Nasdaq Composite index crashed 5%, or nearly 1,000 points.
The plunge in technology stocks was prompted by U.S. President Donald Trump’s tariff rollout that imposes baseline duties of 10% on nearly all imports into the U.S. and tariffs of 34% on China, 32% on Taiwan, and 46% on Vietnam — countries where many of the largest American technology concerns have manufacturing operations.
Taken together, the seven mega-cap technology stocks that also include Amazon (AMZN), Nvidia (NVDA), Meta Platforms (META), and Tesla (TSLA) lost around $840 billion in market cap, according to market date. As a group, the Magnificent 7 tumbled more than 5% in the April 3 trading session. The tech-heavy Nasdaq index had its worst trading day since 2022.
Blood Bath
Many Wall Street technology analysts were quick to criticize Trump’s new round of tariffs, saying they will be devastating for leading U.S. companies. Dan Ives, a well-known tech analyst at Wedbush Securities, wrote in a note to clients that the new tariffs are “worse than the worst case scenario.”
Ives said to expect countries to make deals to reduce their respective taxes, but warned that the U.S. would face a “self-inflicted economic Armageddon” if the tariffs stay as originally presented. Among the Magnificent 7, AAPL stock was enduring the biggest decline on April 3, with its share price down 10%. Apple makes its signature iPhone in China.
Is AAPL Stock a Buy?
The stock of Apple has a consensus Moderate Buy rating among 32 Wall Street analysts. That rating is based on 17 Buy, 11 Hold, and four Sell recommendations assigned in the last three months. The average AAPL price target of $250.71 implies 23.83% upside from current levels.
