Investors are optimistic that Apple (AAPL, Financial) will receive a tariff exemption, a belief reinforced by the company's past exemption during Trump's tenure. Analysts suggest that Trump's "America First" policy may avoid harming iconic U.S. companies like Apple, especially after Apple's $500 billion investment commitment in the U.S.
Following a drop due to tariff announcements, Apple's stock rebounded sharply, rising 15% since early April and adding over $400 billion in market value. Analysts attribute this surge to the growing expectation of a tariff exemption, which is crucial for supporting the stock price.
CFRA Research's Angelo Zino noted the increased likelihood of an exemption, which could otherwise raise Apple's sales costs by $50 billion. Mizuho Securities' Jordan Klein echoed this optimism, with many investors confident in a waiver due to Apple's significant U.S. employment and investment.
Despite the positive outlook, Apple is not solely relying on an exemption. The company is diversifying its supply chain, including expanding iPhone production in India, and may employ strategies like financing plans and trade-in incentives to mitigate potential price increases.
