Apple sunk Monday, triggering a rout in tech, after the Wall Street Journal reported that the iPhone maker will slash orders for its newest slate of phones.
Apple is reportedly considering trimming its production as its newest slate of phones may not be selling as well as the company had hoped, the Journal reported. Its shares sunk 4%.
The slump in Apple Inc.(NASDAQ:AAPL) sent shockwaves throughout shares of its suppliers, some of whom had cut their growth outlook last week, prompting several Wall Street analysts to cut their price target Apple's stock.
Among Apple's suppliers, Qorvo Inc (NASDAQ:QRVO), Lumentum Holdings Inc (NASDAQ:LITE) and Skyworks Solutions Inc (NASDAQ:SWKS), all of which had cut their growth outlook last week fell sharply.
Goldman Sachs, Guggenheim and UBS cut their price targets on Apple's stock this week.
Chip stocks also exacerbated the wreck in tech, led by a slump in Nvidia as investors continued to punish the chipmaker for its bearish quarterly report released last week.
nVidia Corp.ration (NASDAQ:NVDA) fell 6%, deepening a rout that began last week, after it reported revenue that fell short of expectations.
S&P 500 Information Technology fell more than 2%.
