Tech Update: Apple & Tesla Stock Under Pressure in Market Rout

On Tuesday, 11 March, Apple (AAPL) shares touched a 6-month low during the trading session only to close slightly up from it but still shedding about 2.9% on the day. Meanwhile, Tesla (TSLA) caught what has become a rare uptick, closing higher by about 3.7% following a 15% drubbing the day prior.

Mega cap technology companies have felt the brunt of the market sell-off over the past few weeks, with Tesla stock leading to the downside and Apple stock under pressure. What’s behind the latest bearish action in tech stocks?

Apple and Tesla Stock Price Performance Chart

As two members of the coveted Magnificent 7 technology companies, Apple and Tesla stock have shared similar trajectories over the past 12 months, notching big gains in 2024 before retracing in 2025.

While Apple stock rallied in the first half of 2024 before momentum slowed, Tesla saw the opposite with a slow start turning to a huge end-of-year rally. Both stocks topped in December and have rolled over since, but it has been Tesla that has been by far the biggest underperformer. 

With Apple breaking down to a multi-month low this week, it may be about to follow in the path of Tesla, which made a similar breakdown in February. However, with Tesla showing early signs of stability, it could also be that the rout in mega-cap tech stocks is close to over.

*Past performance does not indicate future results 

Apple Hits 6-Month (Intraday) Low

Apple (AAPL) shares dropped on Monday 10 March amid reports that the tech giant has postponed the rollout of an artificial intelligence (AI)-driven update to its Siri digital assistant.

At its Worldwide Developers Conference last June, the company showcased AI-powered enhancements for Siri, such as using users’ personal information to answer questions and enabling finer control over apps. According to a report by Bloomberg, the Siri AI update had originally been slated for release in April, but it may now be pushed back until next year.

This could translate to investors' fear that Apple will sell fewer iPhones without more advanced AI capabilities, dragging on sales and profitability this year. (Source: Investors.com)

Tesla Steadies After Trump Voices Support

Tesla shares caught some relief on Tuesday after President Donald Trump revealed plans to buy one of the automaker’s vehicles, voicing support for CEO Elon Musk in the wake of Monday’s sharp selloff and an apparent boycott of the company’s cars.

Tesla’s stock price decline on Wall Street deepened on Monday, with shares of the EV maker crashing 15% for their sharpest single-day drop since September 2020 and the seventh-worst trading session on record.

On Friday, the company capped its seventh consecutive week of losses. That’s the longest losing streak since going public on the Nasdaq in 2010. The stock has fallen each week since CEO Elon Musk assumed a prominent role in the second Trump White House.

After reaching a peak of $479.86 on 17 December, Tesla shares have shed over half their value, erasing more than $800 billion in market capitalisation. (Source: CNBC)

Conclusion

Apple and Tesla share prices have experienced pronounced levels of volatility during a period of broader market turbulence, as evidenced by Apple touching a six-month low and Tesla stabilising after a deep selloff. Both companies remain under scrutiny regarding product and strategy updates, including Apple’s postponed AI features and Tesla’s leadership. Whether this week’s developments mark the start of a turnaround or merely a pause in the downtrend remains to be seen.

Only time will tell what lies ahead.

*Past performance does not indicate future results