Apple's stocks fell again by 2.1% not that a huge drop. However, since April, Apple's stock has fallen by 10% [robbing investors of more than $80 billion of their wealth]. Some pundits say this the clearest indication that Apple is losing its leadership position while others argue that China's economic slow down has investors worried that Apple won't sell as many gadgets as they previously used to [in China]. If the company doesn't continue raking in the sort of profits they'd been making in the past their stock won't be as valuable as it previously was. How far Apple's stocks will fall remains to be seen.
My view: Much ado about very little. Stock prices rise and fall over time. In Apple's case, they have so much cash on hand they can finance anything they want to do. Short term traders get upset. Long term investors do fine. I view these minor pullbacks as buying opportunities.
I am sorry to hear that about Apple. It is one of the many items that internet users have taken advantage of over the years. I am not sure why Apple is not as popular as it once was. The investors I know have their stock in Microsoft but I am sure there are plenty of Apple investors out there as well. If the world economy is set to tank, it is just a possibility that Apple might fall along with it.
With the 6s coming out, people are getting more tired of the quirky designs and lack of more availability in app products. The I-phone is one of Apples biggest gimmicks, and they are loosing that enticing touch that the 4s had when it released. Unfortunately, the I-phone happens to be a huge proportion of apples revenue, and with the inability to induce people to buy, buy, buy, the stocks drop, drop, drop.
Down 10 days out of 11, off 12% in two weeks and now at 6 month lows. A lot of bad headlines causing noise really. More of a concern is that it's fallen through its 200-day moving average. It's probably not a near-term trade, even if there is value over the longer term.
I've never really dabbled with Apple for some of the reasons MNyte mentioned. Apple had many innovative products that carried a "cool factor". Growing up, if you had the latest Ipod, you were the man. In college, if you had an ******, you were awesome. Out of school, if you had an ****, everyone wanted to use it. Now, lets talk about the Iwatch. My brother has an Apple watch, he looks like a clown wearing it and has stopped at many comments on it. Also, my wife's ******6 has experienced a variety of issues. She's been to the Apple store more times than the movies in the two months and I wish I never bought it for her. My point is many of Apple's newest products do not carry the "got-to-have-it" that they once did. In fact, if it was not for ****** sales, Apple's earnings would have been way off last quarter. I will say however, that a lot of negativity towards Apple is undeserved. End result for a company is did they end the previous quarter with more or less cash than they started with? The answer for Apple is yes, but many concerns still exist.
Honestly it is a bit like the whole China stockmarket ´crash´.. Apple is up huge for the year, it is not a disaster if it gives some of it back. China´s market is still up like 60% for the year, despite the huge drops recently. People need to draw the ´line´ with at least a year of history, not just what happened the past month.
There is just so much demand for their products. They have the perfect life-cycle for a consumer good and the stockmarket.. 18-24 months and everyone is replacing their cells and all the problems in China are going to help keep production costs down for the time being.
