Apr 28, 2016 05:22 AM EDT

Tim Cook Hopeful That Apple Sales Drop 'Shall Pass;' Company's Stock Now 'A Bargain?'

Apple's shares dropped at 7 percent when trading started on Wednesday. This comes after news of the company's first revenue decline was announced.

The Guardian reported that Apple's shares opened at $95.98 and was able to increase slightly on Wednesday morning. The sales drop knocked about $50 billion off of the company's market capitalization.

Tim Cook displayed incredible optimism. "This too shall pass," he said to analysts after the company's results were announced on Tuesday evening.

Apple revealed that its quarterly sales had fallen by about 13 percent when compared to the same period last year. The resulting income of $50.6 billion, as opposed to $58 billion, marked the first time in 13 years that the company's revenue had dropped.

It was noted that the iPhone is responsible for about two-thirds of Apple sales revenue. The company, however, sold fewer iPhones than it was able to do during the same period last year.

This resulted to the tech giant making less money out of the devices. Moreover, the decline was also believed to be caused by the struggling Chinese economy.

Fortunately, the one-day drop did not affect Apple's status as "the world's most valuable company." The company's financial struggles is expected to continue until the iPhone 7's release later this year.

"Overall we see few bright spots in the March report and June guide," Piper Jaffray analyst Gene Munster wrote, "but continue to expect the iPhone 7 cycle will result in a return to growth in [Dec. 2016]." Munster was referring to the company's public financial projections.

According to CNBC, CEO Tim Cook has admitted that the Apple Watch "has quickly become the best-selling and most-loved smartwatch in the world." "We believe it has an exciting future ahead," Cook added.

The company's CEO also remained optimistic about China. "We are committed to investing there for the long run," Apple CFO Luca Maestri said.

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