Jim Cramer said Friday it may be time to re-evaluate long-time portfolio favorite Apple stock given President Donald Trump’s trade war with China. During the Club’s latest Morning Meeting , Jim said he’s wavering on his “own it, don’t trade it” stance on Apple. “We can’t have a position that’s oppositional to the president of the United States, who is offering them no help. The Chinese could turn against them too,” he said. “It’s sobering. I’ve never wanted to sell it.” Jim’s remarks come as the U.S. and China trade feud continues to escalate. On Friday, China raised its levies on U.S. products to 125% from 84% in retaliation for Trump’s 145% rate on goods from Beijing. China is the company’s second-largest market, and it’s also where the American tech giant manufactures the majority of iPhones. So, barring any consideration from the president, Apple will be forced to eat the exorbitant costs of higher tariffs or raise iPhone prices, which could soften demand even further. AAPL .SPX YTD mountain Apple vs. S & P 500 YTD Shares of Apple are down 23% year-to-date on trade concerns versus the S & P 500’s roughly 10% decline over the same period. The slides in both Apple and the broader market have accelerated since April 3, the day after Trump announced his “reciprocal” tariffs plans, which were way more punitive than reciprocal. On Wednesday, the White House dropped the new tariffs on the majority of U.S. trade partners to 10% for 90 days so negotiations on trade deals can take place. China was not one of them. Apple’s best option is to request an exemption from the Trump administration for its imports from China as it continues to diversify away from the region. After all, Apple did pledge in February that it would pour $500 billion into the U.S. over the next four years. “Apple is a problem unless there’s some agreement between the U.S. and China,” Jeff Marks, the Investing Club’s director of portfolio analysis, said Friday. “It’s very hard to game that.” (Jim Cramer’s Charitable Trust is long AAPL. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
The Apple Fifth Avenue store in New York, US, on Monday, Feb. 24, 2025.
Michael Nagle | Bloomberg | Getty Images
Jim Cramer said Friday it may be time to re-evaluate long-time portfolio favorite Apple stock given President Donald Trump’s trade war with China.
