SEC should step in and investigate these Wall Street Apple analyst hacks

“I was livid when I wrote this article Monday morning: Wall Street Analysts Screwing You on Apple,” Rocco Pendola writes for TheStreet. “In that article, I concisely described what’s happening with Apple (AAPL), from the lunacy of Monday’s analyst downgrades to a review of the rational and logical near- and long-term sentiment. And, here we are, Tuesday morning after the chaos. As I write this, AAPL is up…”

“These hacks managed to, on the basis of nothing but their concerted speculation, knock AAPL below $500 in Monday’s pre-market session. In 9:30 to 4:00 trading, it opened at $508.93, dipped as low as $501.23, traded as high as $520 and closed at $518.83,” Pendola writes. “The SEC needs to step in and review how Wall Street analyst hacks do their jobs. Like I said Monday: ‘You mean to tell me that each of these guys, suddenly, spotted this weak trend in iPhone and iPad sales and just so happened to lower estimates and price targets at the same time, on the same morning. Give me a freaking break! Do they think we’re total idiots?'”

Pendola writes, “These guys who, all at once, after months of extreme bullishness, come out with reduced estimates and lower price targets on the basis of “checks” they apparently did, on whimpers of ‘demand’ problems for iPhone and iPad deserve your wrath! People sold AAPL Monday morning. Scared long-term investors ran, only to see the stock finish way off of its lows. That’s the short-term damage these guys cause… When retail numbers start to leak after Christmas and into the New Year… when Apple reports record earnings for the holiday quarter in late January, the analysts will do an about face. I will be here demanding that the SEC asks them the tough questions.”

Read more in the full article here.

MacDailyNews Take: You can demand until you’re blue in the face, Rocco, but that’s about all the change you’ll see as far as the SEC goes. The best action is to constantly remind people which “analysts” are garbage manipulators and/or idiot parroting pawns vs. those who are actually trying to properly analyze Apple Inc. for their clients.

[Thanks to MacDailyNews readers too numerous to mention individually for the heads up.]

Related articles:
Yeah, uh, about those so-called iPhone supply chain cuts: Never mind – December 18, 2012
Apple Investor Alert: Wall Street analysts are screwing you – December 17, 2012


  1. I could not agree more…. these clowns constantly make assumptions that 9 out of 10 times are wrong… they change minds on dime and make conclusion without facts… The word Analysis is way too good for them they are far from it…. Their is some accountability needed. I think they are influencing market for themselves…

  2. There is a concerted effort to manipulate the stock with false opinions. If this is illegal, the SEC should most certainly step in.
    Forbes comes accross as egregiously negative on every apple article they post.

        1. you spit out the word “piety” as if it were a slur ? Is that your intention ? And the comment before “affected moral superiority”. Where does that reaction come from ? What are you reacting to ? What is in your heart that takes such offense at one who pushes back against vulgar language, but spits out accusations of “piety” as if that were the real crime ?

    1. The primary problem with X is not his profanity. It is the fact that he appears to believe that everyone employed by the government is a clueless parasite. That is patently ridiculous. There are many good people working in the public sector attempting to do their best to serve this country despite the proliferation of such unfounded and vile criticism.

      I fail to understand the growth of such unreasoning disparagement of anything and everything associated with the government. The government is far from perfect and few people like paying taxes – but government and taxes are both necessary and integral to the operation of this country.

      Take a moment to consider what would have to be done to satisfy people like X. Is that the kind of country that you would want to live in? Why would we even attempt to shape this country to satisfy people like X?

  3. The SEC has always been useless, and it should be disbanded to end one more waste of the taxpayers’ money. As long as it exists, people will falsely believe that they don’t need to do their own due diligence.


  4. I think they should make it illegal for people to be so gullible as to make trading decisions based on drivel written by nincompoops and posted to the Internet. Who cares what these hacks post? Try proving that the underlying reason the market moves one way or another is that this garbage gets posted. I think we all understand that AAPL should currently be priced by the market at somewhere between $7 and $900 per share. Who can say that the reason it’s priced where it is is the fear mongering being spouted by these so-called analysts? The reason the price is where it is is that that’s the price that people are willing to trade the stock at. Quit whining. If you think it’s worth more than the current offer then don’t sell it. It’s really as simple as that.

    1. Cramer was called on this by Jon Stewart and ‘apologized’ for his hedge manager days. He has a charitable trust he says he plays with AAPL in on his Mad Money show, but I have never read a full disclosure for him. So bottom line is that what you said is may very well be still true.

  5. I also have noticed that Forbes articles, especially those by Tim Worstall, have a heavy, anti-Apple agenda. Complain to Forbes editors every chance you get, so that they dump this path — and that author. He’s not even a staff writer — just a “contributor” (and a hack at that). Of course, we shouldn’t be surprised by this. Owner Steve Forbes revealed his intellectuual dishonesty when he ran for President a few years ago under the “flat tax” mantra.

  6. Do no such things. Leave the cockroaches (including Rocco) alone. Let them be to their best scams. Investors need to learn how to play Wall Street game and stay one step ahead of crooks. Beat them at their own game.

    That’s the best way to protect oneself while making money on Wall Street, the last wild, lawless frontier where survival of the fittest is the only rule.

  7. The SEC is useless and probably run by crooks who are paid-off to look the other way. Apple shareholders will continued to be screwed over for many different reasons. The news media and bloggers continue to churn out articles that are started by “unnamed sources.” Apple shareholders are like scared jackrabbits but who can blame them for dumping Apple stock like it was nothing. They’re being lied to by so-called analysts who know nearly nothing about what’s happening at Apple. They’re just constantly guessing and should really be keeping their mouths shut if they don’t have facts.

    One thing for certain, Amazon has clearly become a far better investment for shareholders than Apple despite Amazon losing money. I just hope it’s capital gains tax holding Apple back, otherwise Apple shareholders are truly being cheated by Wall Street.

    Seriously, how can Google’s stock be worth nearly $200 a share more than Apple’s? Nothing about Google’s fundamentals warrant that much of a difference except investor confidence which can’t be actually measured.

  8. Investigations by the sec will take too long. Changing how the street can do business will be better. Stop shorting and restrict the activity of hedge funds.
    If we block the avenues for manipulating stock it will stabilize the market.
    As far as analysts goes there are plenty of average people who do exactly what their advisors say simply because they do not understand the system. Unfortunately they are often unknowing pawns and they lose money all the time because of bad advice.

  9. Nobody has don e anything illegal. If you want to play with capitalism, you must be prepared to see this behavior. Capitalism is messy, chaotic, and full of predators. Have a nice day.

    1. How do you know that nothing illegal is going on? There are plenty of instances where organizations and individuals conspire to manipulate the market. Human nature dictates that someone will work out a way to get an edge over others in the stock market.
      In this case Apple’s valuation is extraordinary low compared to its performance and the stock is in general highly volatile. It is the perfect vehicle to make money since its fundamentals are so good.
      When there is the ability to bet against a stock the temptation to move the market in the direction to secure a profit is huge. Shorting and hedge funds serve no purpose but to make money for the those involved and have significantly added to the uncertainty in the market and the economy. I for one would welcome more regulation in that area or remove the option completely.

  10. SEC should only step in when Mr Cook decides to take some of his $570 million dollars and share it with all underpaid Apple employees. For Christ sake the mans decision making ability is depended upon other people’s decision making ability and skills. I would guarantee that if apple hits a stumbling block and management decides that layoffs were necessary Mr Cook first action would be to disburse the pink slips rather than take some of his earnings to save these employee’s.

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