Shares of Apple Inc AAPL have held up well relative to the rest of big tech this year, and Loup Ventures’ Gene Munster doesn’t expect the trend to break down anytime soon.
What Happened: Munster referred to Apple as a “safe haven” for tech investors Tuesday on CNBC’s “Squawk Box.”
Given current market conditions, investors should turn to the strongest company in the market, which is Apple, he said.
“The broader Nasdaq [is] down 31% [year-to-date]. Apple is down 17%. Some people say that’s a reason for it to pull back,” Munster said.
However, the Loup analyst views Apple’s relative strength as a positive sign of what’s to come. He noted that Apple is down much less than the overall market because Apple is “fundamentally in a good place” with its products.
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“We’ve checked iPhone demand over eight countries in the last day through lead times. They continue to be elevated,” Munster said.
He told CNBC that iPhone demand tends to pull back following an initial surge in demand on a new release, but that hasn’t happened.
Munster is calling for a short-term recovery in the broader markets, but he expects the Fed to put a lid on the rally. Apple is Munster’s best idea amid current market conditions, he added.
AAPL Price Action: Apple has a 52-week high of $182.94 and a 52-week low of $129.04.
The stock was up 1.43% at $152.92 at the time of publication, according to Benzinga Pro.
Photo: courtesy of Apple
