“Prior to Tuesday afternoon’s earnings announcement, most investors didn’t seem worried about Apple Computer’s fourth-quarter results,” Troy Wolverton reports for TheStreet.com. “Maybe they should have been.”
“While the company topped bottom-line expectations, its sales fell short of Wall Street’s estimates. More importantly, iPod sales were nowhere near the heady number bandied about on Wall Street. And following the company’s earnings announcement, its stock dropped like a rock,” Wolverton reports. “Excluding several tax benefit items, the company earned 38 cents a share, which narrowly beat Thomson First Call’s analyst consensus estimate of 37 cents a share. But at least on the revenue line, it wasn’t good enough for the Street.”
[Apple’s actual revenue: $3.69 billion vs. analysts’ consensus estimate: $3.73 billion]
“In the quarter, Apple shipped 6.45 million iPods. In contrast, analysts were expecting the company to ship in the neighborhood of 7 million units, and some whisper numbers were reaching as high as 9 million units,” Wolverton reports. “Although the Street might have been getting ahead of itself, Apple’s results were nothing to scoff at. iPod shipments might not have been as high as some were hoping, but they still rose 5% from the company’s third quarter and 220% year-over-year. Meanwhile, the company’s line of Macintosh computers posted strong sales as well, with unit shipments up 5% sequentially and 48% from the fourth quarter a year earlier.”
Full article here.
Apple shares currently stand at $46.06, down $5.53 from market close of $51.59 in extremely heavy after-hours trading volume of 9,798,006.
Related articles:
Apple shares plummet in after-hours trading – October 11, 2005
Apple Q4 05 earnings report: best quarter & best year in company history – October 11, 2005
I’ve been waiting for a good opportunity to buy!
Whipping out the credit card…
Jake
Just increased my position in AAPL at a 10% discount – thanks analysts for the (brief) selloff.
I am lovin’ the increase in Apple’s Mac sales. So iPod sales were pretty much flat – what really happened with them? Color screens for the original, 6GB bumb for the mini (or was that the quarter before?) I mean, many people who wanted an iPod from the current line bought one already. There hasn’t been a huge reason.
Better – from the confrence call I am listening to, Apple has sold 1 million iPod nanos in just 14 (or 17?) days – WHOA!
MDN word: values (you can’t make this stuff up!)
Buy.
MDN Magic Word: “nuclear” as in George W. Bush says you misspelled “nucular”.
Morons are selling right now. While smart money already in sits still. I shrewd new investor is buying up fast.
O.K. Tell me this. How does one buy in after hours?
calm down mdn. there is always a sell off after earnings. or when such and such cumulonimbus moves .4 degrees east. or when that dog over there takes a crap and brushes the grass not with the left rear paw but with the left front paw. or when…..
so what? it will be up again in a day or so.
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OOOOOOOO
MMMMMMM
GGGGGGGG
!!!!!!!!!!!!!!!!!!
– or should that be –
well thats the stock market for you – your shares go up, your shares go down. every little bump in either direction warrents very very little time.
there is a lack of ‘color’ here…
After Hours Buying,
E-Trade account + Extended Hours trading section.
Magic Word: single – I just bought more than a single share of Apple.
OK, tell me this (After Hours Buying) How do you expect to get an answer when you don’t include you’re email address?
Time to buy before tomorrows announcement folks. Time to buy before tomorrows announcement.
Approaching the top of the curve for the iPod. Apple better come up with something else. Like computers, for example.
I’m soo done with milking the crap out of iPod. iPod this, iPod that.
Apple’s not getting any closer to server rooms, and Macs aren’t getting any closer to enterprise desktop deployments.
Sheeple,
Wall Street Analyst Sheeple
Are the most ignorant sheeple
in the world..
(Sung to Barbara Streisand’s People)
The after-hours sell-off feels like a Christmas fire sale.
The question now if whether I want to buy even more after picking up 110 more shares in after hours at $45.77. Asking price is already now $46.29.
And all the idiots who sold off are going to feel mighty stupid after tomorrow’s Special Event.
But thank God for idiots! Otherwise, no one would be able to make money in the stock market!
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And then Apple makes their big announcement tomorrow and shares go up again…. investors are so fickle…
As for the results, I think it’s funny that Apple increases iPod sales by more than 200 percent from last year, and investors get all bent out of shape because it wasn’t their fantasy come true of 9 million units.
The introduction of Nano apparently reduced some numbers becaues they had a supply issue. So when you let the Mini sales die to prepare for the Nano introduction, that’s going to affect the number sold.
Best Mac sales
Best iPod Sales
Increasing iTunes Music Store Sales
Increased revenue from Retail Stores
No debt
Increasing cash on hand
Net margins in line
No excess inventory
Huge year over year increase in profit
And the Sheeple are selling!
Amazing
OMG!!!!! the iPOD IS DEAD!!!!! THATS ALL APPLE HAS THATS WORTH ANYTHING!!!! APPLE IS DOOMED!!!!
I cant stand this Wolverton dweeb.
His article has such a tone that he’s actually thrilled that the stock dropped. Someone please punch him for me.
Keep in mind that ALL numbers were in line with Apple’s expectations. It’s these unrealistic pr!cks that keep rasing the numbers that causes this.
“Keep in mind that ALL numbers were in line with Apple’s expectations. It’s these unrealistic pr!cks that keep rasing the numbers that causes this.”
MDN, something to keep in mind when a firm estimates 43 million iPods in 2006.
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That being said, I totally agree with you hammer. Wolverton is a major league !@#$(. His articles about Apple are always filled with snide little insinutations and even when he is a master of “damning with faint priase” even when there is something positive about Apple.
But as I said, we have the big special event to look forward to tomorrow, and I think the sell-off will prove to be quite a non-news item.
I work for Wall Street.
So I am really getting a kick out of most of these replies.
Some of you guys are very good at making it sound like you know what you are talking about.
But trust me…. You don’t.
I think you just want to make yourself sound smart, when in reality you dont know what you are talking about.
This is how bad info gets passed around.
If you dont know about the topic….Dont make yourself sound like you do.
Cuz some Macheads believe anything they hear.
Great time to buy!
Like I’ve always said nothing is good enough for the stock idiots when it comes to Apple. I’d like to see how many Dell DJ’s have sold. 100 maybe 200? Apple sold 6.5 million iPods again in one quarter. Best results ever for Apple so I don’t know what anal-ist want. Apple is doing a great job and something tomorrow is going to make that even better.
I work for TheStreet.com
So I am really getting a kick out of most of these replies.
Some of you guys are very good at making it sound like you know what you are talking about.
But trust me…. You don’t.
I think you just want to make yourself sound smart, when in reality you dont know what you are talking about.
This is how bad info gets passed around.
If you dont know about the topic….Dont make yourself sound like you do.
Cuz some Macheads believe anything they hear.
I work for Mac.
So I am really getting a kick out of most of these replies.
Some of you guys are very good at making it sound like you know what you are talking about.
But trust me…. You don’t.
I think you just want to make yourself sound smart, when in reality you dont know what you are talking about.
This is how bad info gets passed around.
If you dont know about the topic….Dont make yourself sound like you do.
Cuz some Macheads believe anything they hear.
Yes, Mr. Gecko, we appreciate the very specific advice you so tellingly have given out. Pro bono, no less! And while you’re at it, why doesn’t a “Wall Street” genius like you actually spout out something more than generic “I’m a Wall Street insider” crap? In other words, put up or shut up. But your posin’ don’t impress any of us. Your so-called advice is not actually appreciated, Mr. Gordon “Wall Street Poseur” Gecko.
That being said, anyone listen to the earnings call? Tim Cook specifically said Apple has new iPods other than the nano that will be introduced for the holiday season.
Funny how “big news” like this are missed and unmentioned by Gordon “I’m the Wall Street Sh*t” Gecko.
Ask Warren Buffet how he got his millions and he will tell you: “Thanks to the arrogance of the financial analysts”. People that are selling shares in today’s after hours are doing so because analysts expected superior iPod sales, based on estimates from a poll. What a crap… And the sellers don’t even think on tomorrow’s show. What a world.
MW nuclear. As in “This is not nuclear, it is just the anal-lysts.