“Sellers taking bites out of Apple shares may occur more regularly in the near term,” Steven Russolillo reports for The Wall Street Journal.
“Apple’s rare earnings miss late Tuesday caught the market off guard; with the shares suffering one of their biggest drops this year after closing the previous session at an all-time high,” Russolillo reports. “From a technical-analysis standpoint, more declines may be in the offing.”
Russolillo reports, “The next big technical threshold would be the 200-day average, which many feel is a dividing line between bull and bear markets. It’s only been tested twice since early 2009. Apple would need to drop another 12% from current levels before flirting with that level.”
“From a fundamental view, the stock appears fairly inexpensive,” Russolillo reports. “Apple price-to-earnings ratio currently stands at 11.8, according to FactSet. This compares to 14.8 for the Nasdaq 100.”
Read more in the full article here.
I sure wish these financial idiots would stop calling Apple’s quarter a “miss.” It was the analysts who missed, not Apple!
Don’t forget most of the analysts upped their estimates at the last minute just prior to Apple’s results, so Apple really didn’t “miss” their original projections by much if anything!
AAPL is just a vehicle for speculators/stock manipulators.
But watch it. If you look at the long term chart for AAPL, it always seems to recover. All you need to do is extrapolate, and eventually, AAPL always converges back to that straight line.
No doubt. I was about to post the same thing until I saw your post. Apple has their 2nd biggest results and the anal-ists spin it into a problem? Neither Apple nor any other company should be judged what the anal-ists “think”.
Apple was 13% ahead of its projection, par for the last two years.. How is this a miss??
I guess MDN will just keep publishing feces like this without vetting it. Asshats all around.
And these same analysts have no problem with AMZN having a PE of 103? If AAPL had a PE of 103, its share price would be about $2,750 per share. Hmmm.
Steve Jobs’ approach to defending the stock was to keep making and selling the best products. Certainly, the next Q report in January, should look anything but vulnerable, although I suspect that will be clearly visible before that.
If Apple stock drops significantly, it means it’s to to go ball in and buy.
Pretty soon weather forecasters are going to start blaming God or nature for missing the forecast they came up with…
Give me a break.
Apple P/E Ratio around 11.8. Mean while, Amazon P/E Ratio is 101.98, How can this be possible? Because market is stupid and uses guts instead of brains to move.
Meanwhile, Apple is a bargain.
I’ve been spending a bit of time on Wolfram Alpha, honestly trying to figure out why Amazon continues to easily outperform Apple quarter after quarter. Amazon’s P/E continues to expand, Apple’s continues to shrink. Fundamental-wise, Amazon doesn’t seem to have anything over Apple, yet the stock continues to climb and is able to stay very close to set target prices while Apple lags behind target prices. There are days when nothing is announced for Amazon and the stock suddenly shoots up with Apple. I know these companies are quite different, but still, Amazon doesn’t seem to be as vulnerable to the poor economy as Apple is always said to be. Although these companies are different, they seem locked together in movement. Amazon shareholders are leading a charmed life with a company that looks like it’s stretched thin. Amazon seems to be a better performing investment for investors despite having such a high P/E and far less cash than Apple.
I sure wish somebody would come out with an Apple vs Amazon analysis and explain to me what keeps Amazon share growth higher than Apple’s. It can’t be revenue because Amazon’s P/E keeps growing so relatively speaking, Amazon’s earnings have to be growing less than Apple’s with a shrinking P/E. So who the heck is continually pushing Amazon’s share price higher and why?