The bolded is what I was thinking.
Does Apple have to give guidance is sales are way up and there is the potential to buy more stock at cheaper prices prior to the earnings call?
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Lawsuit Accusing Apple of Hiding Weakening iPhone Demand Prior to Early 2019 Revenue Warning Allowed to Proceed
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Does Apple have to give guidance is sales are way up and there is the potential to buy more stock at cheaper prices prior to the earnings call?
Funny, I was just typing this when I saw "new messages have been posted":
I'm curious how often Apple gets sued for beating their guidance.
It’s that kind of mindset that keeps rich people rich and poor people poor. Anyone can participate in the stock market and turn a few bucks into a decent nest egg or better.
To be fair, anyone with a few bucks can turn a few bucks into a decent nest egg.
The mindset that everyone has a few bucks is also part of what keeps poor people poor...
Disclosure is everything in the market. Misleading statements gets you in trouble just ask Elan Musk.
When he said what, matters, but more importantly it is what he said. It is not even about whether he is lying (though that would be bad). There is an obligation to provide information to the best of your knowledge and that is what is in question, did they know more than they let on and did that absence (or delay) of information disclosure impact people’s sentiment towards the stock (buy, sell decision)
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They should be questioned since “sand bagging” is just as bad as missing a forecast. People (institutions, pension fund managers) make decisions based on the best information that should always be available. In my business we were not thanked any more for being 5% over forecast.
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" likely referring to a Wall Street Journal report that claimed Apple slashed production orders for the iPhone XS, iPhone XS Max, and iPhone XR just days after its earnings call."
"CLAIMED." Did they? Wait till they get to discovery and it turns out they didn't slash, but seasonal adjusted based on a historic precedent. What a ridiculous lawsuit. And if they had held the stock..or did they dump it because of their analysis, would the retirees benefited?
"CLAIMED." Did they? Wait till they get to discovery and it turns out they didn't slash, but seasonal adjusted based on a historic precedent. What a ridiculous lawsuit. And if they had held the stock..or did they dump it because of their analysis, would the retirees benefited?
Those poor short sellers that lost money because of Apple beating it's guidance are drooling over this one. That judge should go back to traffic court.
You're lame. Investors lost billions during this time because of his false reporting. Would you like to lose lots and lots of money?
How is that calculated?
When I look at the stock during that period, it's pretty volatile. Any stock that was bought by someone at a price I suspect you think was inflated was also sold by someone at an inflated price, so those other investors made billions didn't they?
To know how the results netted out, you'd have to know if new shares were issued at the inflated price-- if investors lost money to Apple itself. If Apple were actually buying shares back during this period then the market as a whole benefitted from the inflated price, right?
Also, any cuts in production half way into the quarter were probably reflecting forecasts for the following quarter, after the holiday season, not the current quarter...
Pensions, 401(k), 403(b) and other investments rarely if ever buy into a single stock, rather they'll be a mutual fund, or ETF. The chances anyone's personal savings of this sort were directly affected is pretty microscopic...
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Anyone who fancies themselves a wannabe day trader is going to end up losing a **** tonne of money.
I like to play with $10k in a cash fund and so far I'm down $5k (although I was down only $1k before one of my oil stocks took a massive dump on me a few weeks ago).
And I'm in this knowing full well I'm going to lose most of it unless I'm lucky...
Anything for a buck. Everything that comes from his mouth is engineered to maximize profits.
In mitigation, if the participants in the fund stayed in AAPL, it would really be moot at this point in terms of stock valuation. That's the plus side to Apple's engineered movements, you can almost always count on a rebound.
In mitigation, if the participants in the fund stayed in AAPL, it would really be moot at this point in terms of stock valuation. That's the plus side to Apple's engineered movements, you can almost always count on a rebound.
Sure, but it’s not illegal to miss a forecast. My point is that maybe they happen, but I never hear of a suit about a company beating their forecast by 5%. If this was based on high principles, you’d expect to see both.
And what is the “best information”. They don’t give root access to their finance and email servers, so we’ll never have the best information. We always get a delayed summary.
uhhhh, you clearly have no idea how a pension fund or 401k aquires those shares, do you?
I wish I was as wealthy as you are, so that “only” $5,000 (your completely theoretical number) wasn’t “pain.” In a 401k, that loss would also result in exponentially larger loss of retirement income. I agree thst the stock market is a terrible way to save for retirement, but the traditional pension system is gone for almost all in America, and 401k is all we (non-rich people like you) have.
You clearly have never had to worry about money, but you should take your own smug advice and read a bit. Let me know if you need help with the math.
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Please enlighten me how shares purchased by 401k and pension funds are priced differently than those on the NASDAQ, NYSE, etc
Is there a single comment where you don’t attach Apple?
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This.
I’m not exactly a financial expert, but I think it is ridiculous to be sued for a wrong guidance in a market where predictions are subject to variations every time.
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It might be illegal if it arises that material information was not disclosed at all or not made available when it should have been. The board gets root access (as shareholders themselves and as represetatives of the shareholders) to finances etc. The auditors get root access to finances and anything they sit fit to need to do their audit. Yes, everything is delayed, e.g. the information the CEO gets will be delayed somewhat, but material information (something that materially impacts what has been said before) must be disclosed as soon as possible.
Remember, the board is there not only to run the company but also to represent the shareholders interests and provide all material information.
But you’re right it does appear to be less prevalent.
In a nut shell, no one can predict the future, you can speculate all you want but sometimes it doesn’t go to plan. Whoever decided to sue over this clearly has nothing better to do and loves a day in court.
It’s not that people don’t have a few bucks... the vast majority do. They just prefer to blow it all instead of living well below their means.