Apple Suffers Largest Stock Decline in 11 Months

[Guest]

Yeah, I was expecting this. Furthermore, I expect the stock to continue to plummet in the coming years to roughly where it was before Jobs came back in the 90's (adjusted for inflation). People bought into Apple because of the image Jobs created of those products, not because they were exceptional products. Jobs was a darn good salesman, but now he's passed on. Tim Cook just doesn't do it for people.

Abandon ship people. This ship is about to sink.

Too bad the Apple influenced the PC world as much as it did. Hopefully the PC industry will go back to being focused on the office and enthusiast environments, like it was before the Apple fad started.

 

[QEFX]

[citation][nom]wemakeourfuture[/nom].I challenge you to find a computer company that has provided a body of products that have been first to market that millions flocked to and competitors replicated.[/citation]

IBM?

 

[homiedontrightclick]

You idiots. Apple has so much money to burn its ridiculous. Keep hating. Please. Then enjoy your windows 8 fail and your windows smartphone mega fail. Then you can go buy an Android with a 5.5 inch screen and look weird as hell using it. This is 2013, people. I don't want a huge ass phone to lug around. Who wants a phone that takes two hands to operate. A tech obsessed, Apple hating idiot. Apple has been around and isn't going anywhere soon, sack munchers. Even if they lose 20 billion, they'd still have like what, 90 billion or so to cushion the fall?

 

[goodguy713]

over all besides the tablet and the cell phones .. theres not much as far as new tech sure you might get new processors or or they may slap a new form factor on it maybe a different color but it still performs the same function as most other hardware in its class .. theres not really any real innovation in the sense of new inventions its all rehash and marketing.. not saying faster is not better just saying that generally speaking a tablet is a tablet and a cell phone is a cell phone / smart phone what ever you want to coin it.. i hate to think that this is the best they can come up with .. im not entirely sold on flexible screen phones .. now something like holographic imaging or VR that would be different .. i think the other issue is all these different companies have great tech but because of the way the patent system is you cant really innovate because of the risk of lawsuits or other such issues where the hell is our crystal based storage systems and our holographic personal interfaces .. lol

 

[A Bad Day]

[citation][nom]QEFX[/nom]IBM?[/citation]

Xerox in the 1970's?

Actually, they never used their innovations, because supposedly personal computers would never gain ground.

 

[everygamer]

This is really just an example of a more competitive market, plus I believe their stock was inflated before with too many people buying into the hype versus the market share and sales figures.

As to "homiedontrightclick" statement about Apple having more money to burn, he's right, unfortunately with the way the market works it is actually a negative for Apple to be holding so mach cash. Shareholders look at that loose money as a "opportunity lost", as it could be invested or leveraged in capital investments to grow the business or just generate additional revenue in interest which would line the shareholders pockets further. I believe, and many analysts believe that Apple is holding that cash because they know they have tough times in the future. The iPhone 5 sales are an example of this. People don't realize that Apple sells 70% of their phones to existing customers upgrading, the other 30% is new customers, but the smartphone market is growing so fast right now 30% is a really low number. With higher competition on price and features if they loose from that 70% repeat buyers they are loosing their core customer.

Apple is not leading the market in phone sales, their market share is shrinking each year with a short bump after each new phone release. They are starting to see the same dynamic in the growing tablet market too where they currently still lead. If the current trend continues they will be in the same boat with tablets as they are with phones. They will continue to make tons of cash with the existing customer base but that is because they sell there devices at a premium so their customers are paying for their profit margin.

As a software developer I believe the smartest thing Apple could do right now is open up their platform for additional hardware vendors. They should spend their money on the software (iOS/Mac OSX) and the services (Music, Movies, Apps, Books, etc). Even if they limited the hardware two say 2 additional manufacturers and limited releases this would put more choice in the market for the consumer, likely at a lower price point, and Apple would still reap the benefits from those users via iTunes.

 

[everygamer]

[citation][nom]A Bad Day[/nom]Xerox in the 1970's?Actually, they never used their innovations, because supposedly personal computers would never gain ground.[/citation]

Xerox had the first graphical user interface (Apple borrowed that idea from them), then Microsoft borrowed it from Apple. Apple was the largest personal computer distributor in the early/mid 1980's, after the PC platform was released with Windows/DOS Apple shrunk over about 10 years from 15% of the market to less than 3% of the market. One company that fully control's their hardware/software couldn't keep-up with the combined R&D of dozens of companies building PC hardware and Microsoft getting the funding from such a large market in software sales.

History is slowly repeating itself with Android/Apple now, its the same story, 1 company versus the industry, and their market share is telling the tale. The difference now is that Apple has enough money to keep themselves around for a long long time and is likely why they are keeping such a large amount of cash available.

 

[tomfreak]

2014 Jan = AAPL = $200?

 

[James296]

[citation][nom]halcyon[/nom]You do realize it's not 1998 right?[/citation]

do you realize not everyone needs a smartphone surgically attached to their hip, right?

 

[twztechman]

I think it's really about their products and how they fit into the marketplace. About a year and a half ago I got a shiny new Iphone 4s - great phone (and still is for that matter). But - with my contract coming due in just a few months, if it were today, it would be between 3 phones - a Nokia 920 (Windows), Galaxy 3s, or a Galaxy note. I think they are all 3 better then the Iphone 5. And that's the issue with Apple today - they just don't have the best phone right now.

 

[zander1983]

Reasons I have the iphone 5 are that my plan was due for renewal, no extra cost upgrading the phone, liked the features of the S3 but not the plastic feel/touch/cheap feel of it and S3 just a bit too big.

Would VERY much like it if Samsung releases the s4 / s5 with an aluminium body.

 

[rantoc]

It is hardly surprising, overrated stock and a company in a decline. I made a tidy profit in the stock and sold it almost at the perfect spot, i predict its downhill from here and once the decline starts - The big investors will start to sell to cash in to find the next profit opportunity so its likely apple will take a new record - the fastest declining stock value in history.

 

[digiex]

The Magician is already dead, what can you expect.

 

[wemakeourfuture]

[citation][nom]rantoc[/nom]It is hardly surprising, overrated stock and a company in a decline. I made a tidy profit in the stock and sold it almost at the perfect spot, i predict its downhill from here and once the decline starts - The big investors will start to sell to catch in to find the next profit opportunity so its likely apple will take a new record - the fastest declining stock value in history.[/citation]

Heard of Bear Sterns, Enron or the countless stocks that went down 99.99% in value that is near impossible for Apple considering it has $120 Billion in cash/bonds

 

[Guest]

Smart phone market has become very saturated with incredible growth rate in past few years, it is time for the whole market to slow down in growth and will soon be sustained by repeating buyers. The growth rate of iphone in the past few years is not sustainable. Problem is electronic devices can last for years so repeating purchase, will be far below the revenue earned during the initial run. Whether Apple can bring out new features to the iPhone, they will still be facing the same issue, that those who want to own an iPhone already own one or few or them, and are thinking whether it is worthwhile to buy another. Share price is always inflated by bubble, based on conditions that cannot be true in the long run. Same thing has happened to Microsoft when their price shot past $600 in the late 1990s.

Of course, another problem with Apple approach is their strategy to sell premium products with high profit margin, completely alone with no allies, and pit themselves against several other companies who is willing to sell similar products and undercutting them. Pure economics principles will tell you what the final outcome will be. Just look at history, or the car or fashion industry.

 

[pacomac]

You watch, before the months out Apple will be posting record profits.

Tim Cook has already come out and said iPhone 5 sales remain strong and the reason for the reduction in orders is because there getting more efficient in manufacturing devices with less wastage.

 

[inthere]

Apple was finished innovating 3 years ago. Microsoft is jumping into the game big time and my prediction is Windows will have the top phones/tablets at some time within the next 5 years. More user friendly than Android and less buggy. Blackberry is going the way of Netscape no matter what they come out with. No room for them.

 

[back_by_demand]

[citation][nom]A Bad Day[/nom]I remember when one of my friends bought like 20 of Apple's stocks in a stock stimulation game for the state-mandated Personal Finance class...At around $700, the day before it started to decline.Today he asked me when will Apple's stocks climb back to $700 so he doesn't take a stupidly large loss.What should I tell him tomorrow?[/citation]
Tell him to sell quickly and reinvest in Samsung stocks to make up the lost money

 

[house70]

[citation][nom]homiedontrightclick[/nom]You idiots. Apple has so much money to burn its ridiculous. Keep hating. Please. Then enjoy your windows 8 fail and your windows smartphone mega fail. Then you can go buy an Android with a 5.5 inch screen and look weird as hell using it. This is 2013, people. I don't want a huge ass phone to lug around. Who wants a phone that takes two hands to operate. A tech obsessed, Apple hating idiot. Apple has been around and isn't going anywhere soon, sack munchers. Even if they lose 20 billion, they'd still have like what, 90 billion or so to cushion the fall?[/citation]
Wow. Do you kiss your family goodnight with that mouth?

 

[alvine]

I bet Zak is upset about this ^___^

 

[wemakeourfuture]

[citation][nom]inthere[/nom]Apple was finished innovating 3 years ago. Microsoft is jumping into the game big time and my prediction is Windows will have the top phones/tablets at some time within the next 5 years. More user friendly than Android and less buggy. Blackberry is going the way of Netscape no matter what they come out with. No room for them.[/citation]

You mean like the success Microsoft had with Tablets and phones from 2002-2007 before the iPhone? LOL they have been completely inept in this space for OVER a decade. Nothing is changing there for Microsoft and the Surface RT, PRO, and new Windows 8 phones all prove that.

Maybe we should give Microsoft another decade, it will probably take them 20 years just to get enough marketshare to be up there with the big boys (Apple and Android).

 

[susyque747]

Apple Haters, got to love the serfs.

 

[rohitbaran]

Still not gone low enough.

 

[master9716]

Apple being a wealthy company doenst benefit the economy in a big way , After trying to sue everyone it wouldnt be bad to see them in the brink of bankrupcy in the near future. But if it wasnt for Steve the S3 wouldnt be so good.

 

[Guest]

My God, what will the iSheep do??? Is there a mass suicide planned? It couldn't happen to a more deserving company. I hope it continues to sink, and the company fails outright. It is what they deserve, considering their total lack of ethics. I don't understand people who want a phone that costs $120 a month or more to use - just so they can check the weather without looking out the window, and ignore everyone around them. I get sick of people and their damned stupid-phones. Put your phone away, and interact with the people in your life for a change. My Net10 phone does phone calls and texts for $15 a month. That's all anyone really needs. The rest just leads to antisocial and outright rude behavior.