Apple's $640 billion wipe-out in just 5 days has a silver lining

Apple is caught in a downward spiral of its stock price following President Trump's sweeping tariffs that are targeting some of Apple's main sources of manufacturing.

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On Monday, Apple's stock price dropped by another 3.7%, marking a 19% decrease in just three days. The downward spiral was caused by President Trump's new trade tariffs aimed at many countries around the world, but particularly the leaders in manufacturing, but particularly China. The goal of the tariffs is to bring manufacturing back to encourage companies to bring manufacturing to the United States to avoid paying the newly implemented levies, which in the case of China, one of Apple's biggest manufacturers, will be a 57% increase on all imported goods.

Apple's other main manufacturers are India, Vietnam, and Thailand, but these countries didn't dodge Trump's tariffs either, with many of them also being hit with hefty new taxes. So, what will happen to Apple with the new tariffs?

Analysts are pointing to a few courses of action for one of the world's most valuable technology companies. The first is an increase in the price of its iPhone models. Second, Apple could eat into its profit margins per unit sold to prevent the price of its products from increasing. Third, Apple could move its supply chain so imports don't come from countries hit by high tariffs. It remains to be seen how Apple will decide to approach these new tariffs.

What could be considered the silver lining of these tariffs for Apple is the new rush by panic-buying consumers to grab an iPhone at its current value.

• Read more: Apple stores hit with 'panic buying' over fear tariffs could increase prices