Apple shares fall

Discussion in 'General Mac Discussion' started by iamspooky, Aug 13, 2002.

  1. iamspooky macrumors member

    Joined:
    Jun 15, 2002
    Location:
    Honolulu
    #1
    Apple shares fell 13 cents to $14.86 at 12:41 p.m. in Nasdaq Stock Market trading. They had fallen 32 percent this year.

    I wonder why??
     
  2. bbarnhart macrumors 6502a

    bbarnhart

    Joined:
    Jan 16, 2002
    Location:
    Stilwell, Kansas
    #2
    Are you just stupid

    I thought I'd ask.

    Stock price is based on many factors including revenue, net income and perceived value. I'll leave it to you to do the math.
     
  3. bousozoku Moderator emeritus

    Joined:
    Jun 25, 2002
    Location:
    Gone but not forgotten.
    #3
    Within the last year or so, everytime Apple makes a hardware announcement, the share price goes up for 10 minutes or so and then drops dramatically.

    So, really...what's it matter? Apple has been worse. Remember, this is after the 2-for-1 stock split. They were at 13+ for quite a while before that.
     
  4. iamspooky thread starter macrumors member

    Joined:
    Jun 15, 2002
    Location:
    Honolulu
    #4
    Re: Are you just stupid

    Actually I am an idiot !!

    Regards,
    spooky

    shezuz...you mac people take life so seriously !!! Catch a wave and relax !!!

    Aloha!!
     
  5. zarathustra macrumors 6502a

    zarathustra

    Joined:
    Jul 16, 2002
    Location:
    Philadelphia, PA
    #5
    The rule of thumb for the stock market regarding companies is:

    "Buy on rumors, sell on news." Just give it a shot. Watch respectable news sources rumor a new product from a company, the stock will go up a bit, or a lot, but after the official press release, the price usually deflates for a few days.

    Besides the obvious downturn in economy, the whole Enron, Worldcom, Kmart, US Airways, etc fiaskos did not help a bit. For the younger crowd, this is called a bear market, and can last a few months or even years. It will correct itself - do not worry.

    In Economics 101 they teach you that every upward movement in GNP (also the stockmarket and other inidcators) is followed by a downturn. The higher the peak, the lower the bottom. That's it. The government has been trying too long to keep the economy going up, and they have succeeded for a while, but now it's just time to wait it out.

    Our economy (US) is regulated in a very simplistic way by adding or taking away cash from the marketplace. There is people and companies with serious money waiting for the market to bottom out, so they can start buying cheap. Up until now any positive turnaround has been stifled by some scandal or war efforts. Very unfortunate, but a merely historical anecdote in the long run.

    ¢2
     
  6. Mr. Anderson Moderator emeritus

    Mr. Anderson

    Joined:
    Nov 1, 2001
    Location:
    VA
    #6
    dropping 13¢ is nothing significant. Besides, most stocks went down over the past several months. Apple's tendency is to go up a bit right before the Expos and drop immediately following. I've watched this happen quite a few times now, so zarathrusta, I have to agree with what you said.

    D
     
  7. topicolo macrumors 68000

    topicolo

    Joined:
    Jun 4, 2002
    Location:
    Ottawa, ON
    #7
    Buy on rumors, sell on news most definately does not work. I've tried pretty much every single type of investing there is, and I find that the only way to consistenly make profits is to become a value investor. With that said, Apple is a pretty good value right now. I can see Apple gracing the $18-20 mark a year from now.
    Still, this recent bear market has a very good possibility of dragging on for another couple of years, kinda like the 14 years or so after the great depression (well, maybe not that bad, but another 2-7 years is conceivable because of the gentle declines we've seen so far).
    When compared to other world markets, the US market is actually a little overvalued. I just hope the US doesn't follow Japan and go into a decade-long downward spiral. :(
     
  8. sparkleytone macrumors 68020

    sparkleytone

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    Oct 28, 2001
    Location:
    Greensboro, NC
    #8
    just look at the stock price of other computer companies this year.
     
  9. firewire2001 macrumors 6502a

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    Apr 2, 2002
    Location:
    Hong Kong
    #9
    yeah.. the "buy on rumors sell on news" idea is definately not the way to go..
     
  10. zarathustra macrumors 6502a

    zarathustra

    Joined:
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    Philadelphia, PA
    #10
    It's not an idea, it's a theory - do not think of it as an instruction, rather than an observation, as in: "Short term investors tend to buy on rumors and sell on news, before the reality sets in." I don't live by it, but I do encourage to look at other companies and their stock prices at rumors vs. news reports. I have seen it happen quite often.
     
  11. eyelikeart Moderator emeritus

    eyelikeart

    Joined:
    Jan 2, 2001
    Location:
    Metairie, LA
    #11
    why the surprises?

    this happens constantly now...each time Apple has a release or anything signficant we usually see a small drop...

    but .13¢ is nothing...seems like typical, daily stock activity to me...
     
  12. topicolo macrumors 68000

    topicolo

    Joined:
    Jun 4, 2002
    Location:
    Ottawa, ON
    #12
    Either way, if it drops below $13, I'm gonna buy, no matter what. It won't tho, because that's about how much cash/liquid securities apple has per share.
     

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