Apple’s stock is currently the single biggest short for hedge fund investor Dan Niles. “Sold $AAPL & now our largest single stock short,” the Satori Fund founder said in a Thursday post on X. Niles cited three reasons for his bearishness toward Apple, including China’s crackdown on iPhone usage. Loading Something is loading.
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Hedge fund investor Dan Niles says he’s betting hard against iPhone maker Apple, which is now his largest single-stock short position.
“Sold $AAPL & now our largest single stock short,” the Satori Fund founder and senior portfolio manager said in a post on X Thursday.
Niles cited three reasons for his bearishness toward the Big Tech giant – including worries about China’s iPhone ban. The Asian nation recently ordered its central government officials not to use Apple’s iPhone or phones from foreign brands at work, as tensions between Beijing and Washington heat up, according to the Wall Street Journal.
It follows the US barring equipment sales from Chinese tech firms Huawei and ZTE during the Donald Trump administration.
Shares in Apple took a beating on Thursday thanks to reports of Beijing’s iPhone crackdown, leading to a $191 billion loss in the tech titan’s market cap in just two days.
Other risks for Apple include rising competition from Huawei, Niles said, following the release of two new smartphones by the Chinese company.
Meanwhile, the forthcoming resumption of student loan payments in the US could squeeze Americans’ spending power, potentially weighing on iPhone demand, Niles added.
Lastly, Apple’s slowing revenue over the past few quarters “will force investors to question 29x CY23 PE w/ no major AI play vs S&P at 21x,” he said.