“Why the [AAPL] sell-off? This might be one of those classic examples of expectations exceeding reality, and therefore we have a sell-on-the-news scenario just a day ahead of Apple’s earnings release,” Jim Goldman reports for CNBC.
“NPD reported that Mac sales went from a year-over-year increase in February of 43 percent to a year-over-year increase of only 7 percent in March,” Goldman reports. “And while Piper Jaffray’s Gene Munster still believes Apple can hit his unit expectations of 2.8 million to 2.9 million Macs sold during the quarter, he had anticipated growth around 20 percent in March, which would have translated into a Mac sales number of over 3 million units.”
“In other words, even before Apple reports its earnings, NPD says the company will likely miss the rather optimistic whisper numbers floating around the Street. Apple shares are getting hit hard because of this. Munster says desktop sales dropped 5 percent year-over-year in March while laptops increased 14 percent,” Goldman reports.
Goldman reports, “NPD says overall, Mac sales increased 25 percent year-over-year for Apple’s March quarter. Consensus was up about 22 percent. But weakness in the month of March is likely what’s causing today’s sell-off. It’s a clear case of good news simply not being good enough.”
Full article here.
MacDailyNews Take: What, you want Wall Street to react logically to third-party estimates about one-month of Mac sales? Don’t be silly. That said, being off 0.65%, as AAPL is right now, is not much of a sell-off, now is it? Perhaps logic actually has somehow prevailed on Wall Street today.
Another potential (and more sensible) reason for the “sell-off” might be Gizmodo’s “4G iPhone” and its potential to freeze the iPhone market until June.