Apple Is Raising Prices Due to Higher Memory Costs. Is the Stock in Trouble?
The company is raising prices on just about everything except its iPhones -- for now.
Overview
The market has been bearish on tech giant Apple (NASDAQ: AAPL) of late as concerns are rising that its growth rate and margins may come under pressure in its upcoming quarters. The reason? The company is raising prices on its popular products in response to soaring memory prices, as companies such as Micron Technology benefit from insatiable demand.
While Micron is a big winner from such a trend, Apple may end up losing big from it. While the price increases can help it offset the rising memory costs, the risk is that its already expensive products may become even more unaffordable for consumers.
Details
Does this spell trouble for Apple's stock, and is it better to ditch it now, or does its reduced value make it a more attractive long-term buy?
Source
Originally published at www.fool.com.