The Motley Fool: Apple shareholders have got to be shaking their heads today

“Shareholders at computer and music appliance maker Apple Computer have to be shaking their heads,” W.D. Crotty writes for The Motley Fool. “Earnings were outstanding and beat analyst expectations. Quarterly revenue was up a healthy 70%, and net income increased more than 500%. The stock, however, was down 7% in early-morning trading. Why?”

Full article here.

Related MacDailyNews articles:
Apple’s great quarter not good enough for some analysts and investors – April 14, 2005
BofA: Apple had ‘good’ quarter, but we’re ‘very disappointed in iPod unit demand’ – April 14, 2005
Analysts weigh in on Apple Computer’s second quarter 2005 earnings and future outlook – April 14, 2005
Analyst: Apple needs to get some exciting products out there or else the Street’s appetite will wane – April 14, 2005
Apple shares drop after company says earnings this quarter may trail analysts’ highest estimates – April 14, 2005
Investment advisor: Apple’s after-hours selloff ‘perplexing’ after ‘incredible’ earnings results – April 13, 2005

22 Comments

  1. It’s nothing to worry about, it’s low so the wall street analist’s family & friends can jump in and buy some on the cheap, then sell it at a nice profit next week. Simple as that

  2. Probably profit-taking in preparation for the next rally with Tiger and next round of new/upgraded hardware at WWDC. The market reaction is illogical, which is why I don’t play the markets anymore.

  3. Reason (I think) …The market is beginning to understand Apple, its management and its products. The market puts a premium on foreseeable, profitable uncertainty, while discounting the here and now. Apple is the here and now and a lot of the competition is gunning for it. In the past, Apple has been slow to react to the finicky consumer by developing products Apple thinks the consumer wants rather than listening to the consumer and delivering the product the consumer wants. Apple’s competition has done a better job of listening and reacting to the consumer. That is unfortunately what the market is discounting.

  4. If you guys didn’t read the whole article, he asks this question at the end…..

    “Ask yourself what the iTunes Music Store has, beyond a strong early sales lead, that will help it compete in the long term.”

    My reply to him (in an email)

    You wrote…

    “Ask yourself what the iTunes Music Store has, beyond a strong early sales lead, that will help it compete in the long term.”

    Intuitive, user-friendly interface
    Outstanding catalog of music
    Complete satisfaction with service from sign up to download
    Movie Trailers
    Free song promotions
    An incredible head start on the other would-be music services

    The better question would be to ask how any other service is ever going to be able to compete with iTunes.

    Just remember – analysts have been beating the Apple death drum for the last 10-15 years, and it hasn’t stopped them yet.

  5. Hey, pumpers, this POS is overvalued, and all the hypsters were brought back to earth.’

    Pain. Take the pain. You idiots are emotional about this POS … no wonder some of you got reamed out today.

    You dumb enough to think a good company (which Apple is) means the stock will go up forever.

    It cold in the market. If you can’t handle, get the hell out, candyasses.

  6. Anyone else here think Jessica Alba is spankin’ HOT?! I know it’s all out of left field an’ all, but I just gots to know how a woman like that gets to be so smokin’!

  7. “Ask yourself what the iTunes Music Store has, beyond a strong early sales lead, that will help it compete in the long term.”

    Why would I ask myself that? Apple earnings don’t depend on the iTunes Music Store. They depend on the iPod, the Macintosh, and Apple sofware.

    What a blithering maroon.

  8. To: Overvalued Hog

    Yeah – right. The 50 shares of AAPL I bought at $18 are now 200 shares at over $35 thanks to two splits. I’m crying – all the way to the bank…

    Next time you post drivel, at least spell check it first.

  9. Well it’s pretty much impossible to compete with the iTMS because iPod owners are going to be using the site…

    The idea of one of the WMA sites beating iTunes is ludicrous.. one store has a 70% marketshare.. while all other dinky WMA sites have the remaining 30%

    And with every new iPod.. you have the number of songs sold per week growing and growing and growing..

  10. What does the iTunes music store have in the long run.
    Well I’ll tell you. Lot’s of music at a decent price with an interface that is easy to use bar none. Also a DRM policy which is very fair. Best of all you DON’T have to pay monthly for it and the music is yours and won’t disappear on you ever. Works on Windows and Macs unlike most that don’t even offer a service for the Mac.

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