“Apple Inc’s results will be dissected more closely than ever next week, after a share swoon raised concerns on Wall Street that the stock’s gravity-defying rally may be losing steam,” Poornima Gupta reports for Reuters. “Five straight days of stock losses for the world’s most valuable company sparked fears it had ventured into dreaded bubble territory and was overdue for a strong pullback. Shares reversed course on Tuesday, gaining 5 percent.”
“Between major legal challenges across several continents, increasing competition from Google Inc’s Android — now the world’s most-used mobile software — and confusion over what its next groundbreaking product will look like, more cautious investors are re-evaluating their positions and cashing in some holdings ahead of Apple’s second-quarter earnings next Tuesday,” Gupta reports. “There’s reason for caution: Apple’s shares surged nearly 60 percent to a high of $644 this year. The slightest sign of trouble in the earnings report may prompt further profit-taking. ‘Any disappointment in Apple could lead to a significant selloff in the short term,’ said Channing Smith, co-manager at Capital Advisors Growth Fund. ‘Are we long term believers in Apple? Absolutely, but as we move forward…you get up here to over $600 and you say, ‘Hmm, this is getting pretty frothy, expectations may be getting out of line.””
MacDailyNews Take: The share price is meaningless. What’s the P/E ratio, dipshit?
We doubt Channing Smith could analyze his way out of a wet paper bag.
More tiresome, ginned up “concerns.” It all amounts to exactly what exits the tail end of a bull.
Gupta reports, “The world’s most valuable company is expected to present a positive short-term picture when it reports earnings. Apple is estimated to have sold between 30 million and 35 million iPhones and around 13 million iPads on average last quarter, according to Wall Street analysts. Monstrous sales of the iPhone — 37.04 million — accounted for more than half of Apple’s first quarter revenue and assuaged investors’ worries about the company’s size slowing it down.”
MacDailyNews Take: What is Apple’s share of the smartphone market? What’s Mac’s share of the PC market? How many hundreds of millions are primed to buy their first tablet, a market that Apple created and dominates with iPad?
Apple’s current size is meaningless because their addressable market is virtually limitless.
Hey, iCal just bounced. Check out this 2:04 Reuters’ video (from a mere five days ago) entitled, “Believe it or not, Apple at $620 is cheap.”
Schizo much, Rueters?
Gupta reports, “Over the past week Apple’s stock found itself in relatively unknown territory, declining 9 percent to $580 before bouncing back over 5 percent to nearly $610 on Tuesday. It had touched an all-time high of $644 on April 10. ‘There was some nervousness probably that perhaps everyone that wanted an Apple product already bought one,'” said Jack Ablin, chief investment officer for Harris Private Bank in Chicago.”
Full blatantly transparent manipulation attempt – Think Before You Click™ – here.
MacDailyNews Take: How many abject idiots can a Reuters’ hack collect into a single fomenting exercise? We bet that while she was scribbling, Gupta actually cried real tears that AAPL added 5.1% yesterday which made her piece and many of the “analysts'” quotes within in all the more laughable.