can't understand how the stock market works.
all i see is a great lineup for the holiday and the stock plummet
Stocks is sort of a speculation on future performance of a company, more often than not have less to do with real world performance.
Right now investors believe that Apple will lose a good chunk of something (profit, mojo, who knows), but that the big tying factor that everyone wants is money. Less profits means less dividends paid on stock. And the lower the value.
it's a lot more complicated than that, but a quick jist of it.
There's a lot more to it again than "hey, apple has a good product lineup, so why the negative speculation". the product lineup is secondary. Profit margins, Company goodwill, Perception in the marketplace, expected revenues and costs. There's hundreds of calculations that accountants use to try and estimate if a stock is a good buy or not.
Right now, it looks like the concensus is Apple is going to have some form of lowering of expectations.
I dont entirely blame them. There is a very very long list of items that have investors worried.
I've posted this before (in another thread, and the list has grown)
https://forums.macrumors.com/showthread.php?p=16145144#post16145144
add to this list
Apple lost a lawsuit yesterday and was given a 370 million dollar punishment for patent infringement. They also aknowledged willfully infringing on patents to complete facetime. For a company who's currently suing the world for the same, it's a terrible public perception. this will hurt their goodwill value and lower the company value.
Apple also yesterday put in a new list of devices for a new list of patents they're trying to protect. Apple's image is getting more and more tarnished everytime they do this and the general market is getting fed up.
The UK court ruling was bad enough for them, but their mocking of the judges decision also had negative impact on their public perception. Then their continued mockery by using javascript to hide below the page the actual notice (though I think it was removed).
Rumours that Apple had to help LG with 2 billion dollars means that, while an investment, it's 2 billion less in "profit / cash" available. devaluing the company.
Apple's tablet share has dropped in the last Quarter from 63% to 50%.
Disgruntled users who within 6 months have had their ipad3's replaced with the ipad4's
Ipad mini pricepoint has not sat well with the majority of the market. it's selling well enough, but not what forecasters predicted.
a terrible ipad mini product announcement where apple was forced to do comparisons to another persons device, instead of letting it stand alone and sell itself.
there's not a day anymore that Apple isn't in the news for things outside of their products. This is a terrible thing for a tech company. the news of patents, lawsuits, legal matters seem to outweight the new products, better services and updates by a great margin. Just go look at the news feed from here.
This is why Apple's stock has taken a beating in the last couple months and the original speculation of Apple hitting 1000 / share is a long gone imagination
