Apple shares drop below $500 first time since February

Apple shares drop below $500 first time since February London: Tech giant Apple’s share price has fallen below the 500 dollars threshold for the first time since February.

The iPhone maker joined the exclusive 500 dollars-a-share club in February after record sales of its devices, and briefly surpassed 700 dollars a share in September.

Analysts, however, warned Apple could be losing momentum as it briefly slipped as low as 497 dollars in pre-market trading, the Telegraph reports.

It returned to 508.92 dollars before the markets opened and closed at 518.83 dollars, the paper said.

According to the paper, the drop came as analysts slashed their target prices for Apple stock, following reports the Californian technology giant is cutting orders of the iPhone5, indicating sluggish sales.

Citigroup made the most aggressive downgrade, reducing its target price on Apple shares 675 to 575 dollars, saying reduced orders highlight the possible risks for investors.

“[They] bring into question the strength of the iPhone5 and refocus investors on to the risks in the Apple story. As such, we see the likelihood of any near-term rally as diminished,” the firm said.

ANI