Why You Should Sell Apple Shares Now?

Around the beginning of June 2017, some observers were making the suggestion that it might be the right time for investors to sell Apple shares. This was an unexpected move and considered by many to be controversial advice as Apple and its range of products seemed to occupy their customary unassailable position with their large and dedicated customer base. Indeed this very loyalty itself was a factor, many noting the extreme ‘stickiness’ of Apple’s product range and the manner in which the technical and brand interdependence seemed to produce continued expansion and success for the Tech giant. This was reflected by rapidly rising shares prices, up by 32% since the start of 2017. How could the company that produced the MacBook and the iPhone ever be in a condition where it seemed that selling their shares would be an advisable move? Surely even the most courageous of people would think twice before they ever decided to sell Apple shares in such an environment. Granted all wise investors know that nothing is forever and that no company’s position in any market is unassailable. However even bearing in mind the lessons of history it seemed inconceivable that Apple could have reached a point where its shares were overvalued, which meant, of course, that the whole share price of Apple was overvalued. Bearing these points in mind, you might wonder what could have come to pass. If that is the case then perhaps some reading, perhaps carried out on your Apple product, could supply the answers. All was not looking well for Apple in the middle of 2017, though the warning signs (which are also signs of a looming opportunity, let us remember) were present but not immediately visible.

The principle reason why some analysts were suggesting that June 2017 was a good time to sell Apple shares was the predicted future performance of the smartphone market and to put it simply it seemed that future growth for that particular item of hardware was unlikely. Apple had, as we noted above, long depended on the success of its products and the loyalty that they engendered, a loyalty that was based in part on Apple’s position as the supplier of the trendiest smart phone. This was not its only advantage, of course, but the chic of Apple’s products was a notable factor in their continuing success. By the middle of 2017 however, it was seen by some as only a matter of time before a new product appeared that was not just more fashionable, but also cheaper and which offered better quality. Another factor pointed too was the way in which products not from Apple were beginning to infiltrate into Apple’s core markets. Examples of this included Google Assistant’s appearance on iPhone and Windows Store’s slated adding of iTunes by the end of that year. These factors, combined with figures from the first quarter of 2017 that were described as soft, were the factors that led some to suggest that June 2017 was the time to sell Apple shares and make a handsome profit.

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