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Apple and Amazon Stock Dives Set to Erase $200 Billion in Value

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(Bloomberg) -- Apple Inc. and Amazon.com Inc. late selloff on Thursday on the back of disappointing earnings reports may wipe out over $200 billion in combined market valuation from the companies when markets open on Friday.

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Shares of Apple fell as much as 5% after its revenue missed expectations, hurt by supply constraints. Amazon fell by a similar degree after it gave a revenue forecast that was below consensus estimates and warned that high costs could wipe out any profit in its holiday quarter.

Apple ended Thursday’s session with a market capitalization of about $2.52 trillion, and the postmarket drop represents a loss of about $126.1 billion in market value. The 5% drop suggests the stock will open with a market cap of $2.39 trillion, which means Apple may fall behind Microsoft Corp. on the list of biggest listed companies, based on current outstanding shares. The software company ended Thursday with a market cap of $2.44 trillion.

Amazon closed with a value of about $1.75 trillion, and the post-earnings drop of 5% would erase more than $87 billion from its valuation.

Read more: Apple Suppliers Poised to Fall After Quarterly Revenue Miss

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