Apple Stock Plunges 10 Percent

AP via Yahoo ^ | 10/12/2005 | May Wong

[zencat]

Shares of Apple Computer Inc. continued to tumble Wednesday, after the company reported robust sales of its personal computers and still-sizzling iPods, but overall shipments of the digital music player falling shy of Wall Street's high hopes.

[mwyounce]

Rule number 1 when it applies to AAPL: Good news = stock price goes down.

[TommyDale]

You mean millions of us haven't fallen for the hype of the Ipod? I'm shocked!

[newzjunkey]

Profit taking.

Apple just reported the most profitable year in their history and Wallstreet only cares they didn't make many speculator's predictions in the past quarter even though they met and exceeded the company's own.

Also people are trying to drive the price down ahead of the "One more thing" major product announcement today.

The product could be new laptop Macs, new laptops or another round of new iPods. Perhaps the long rumored "video" iPod and the launch of a new online store for video (music videos assumed, maybe TV shows?).

[Menehune56]

Oppenheimer cited an "enormous backlog" in orders for Apple's newest portable player, the pencil-thin iPod Nano released Sept. 7. One million of them were shipped before the fourth quarter ended, Oppenheimer said.

I believe the Nano was introduced only two or three weeks before the end of the quarter so this is truly impressive. Talk about being punished not for failure but inadequate success.

[newzjunkey]

Actually millions HAVE fallen for the "hype of the ipod." Somewhere between 20 and 35 million, actually.

I don't have one. (Yet?)

The rule is definitely good news = stock drop when it comes to Apple. It's all about profit-taking.

[pageonetoo]

I bought at 13 3/8... and then it split... and just now paid 50 cents a share... they must be doing something right!

[SlowBoat407]

Gee, so Wall Street set some wild criteria and penalized Apple because their products only sold astounding numbers instead of ludicrous ones?

[theFIRMbss]

>Good news = stock price goes down

The "free market" is
insane. (All the more reason
to look else where for

a solution to
social security's ills.)
But Apple's okay.

In the next ten years,
Apple's Intel switch will sell
big to Apple fans.

Inevitably,
Apple will announce some kind
of Windows machine

and Apple will eat
HP alive. I predict
at least one stock split

in the next ten years.
If I had gambling money,
I'd buy Apple stock.

[pageonetoo]

Yet, one day later, it gained a dollar in the first hour...

[antiRepublicrat]

Talk about being punished not for failure but inadequate success

Failure to meet initial demand happens almost every time for Apple, no matter how many they stock prior to the announcement. You'd think they would have learned by now.

[TX Bluebonnet]

Buy on the rumor, sell on the news. Isn't that the way it goes?

[oldleft]

Is that a poem?

What Apple will probably do is make OS compatible with PC's and bury Microsoft.

[Petronski]

She posts everything that way, as if it's some kind of haiku. Go figure.

[dawn53]

iPod's are wonderful...this coming from a middle aged woman!

I don't think iPods are "hype" and I've never seen an easier way to organize one's music collection than on an iPod.

[HamiltonJay]

Apple is DEBT FREE and Profitable..... I think their products are overpriced and overhyped.. but they are doing well on their fundamentals... Just shows you stock price and value are completely divergent concepts anymore.

[RedBloodedAmerican]

If an apple falls to the ground on wall Street, will it make a sound?

Probably not.

[theFIRMbss]

>She [?!] posts everything that way...

I'm a man, baby!
(And my chest hair's not even
the easy-off kind!)

[Petronski]

I never figured a man would do that (or be into The FIRM Body Sculpting System either).

[RegulatorCountry]

"Talk about being punished not for failure but inadequate success."

They didn't outperform enough. "Only" .38 a share, instead of projection, which was .37 a share.