Apple swoon erases $17 billion from stock market

“Apple Inc.’s near 4% drop wiped out $17 billion from the U.S. stock market on Monday, pushing two of the three benchmark indexes into negative territory,” Kate Gibson reports for MarketWatch.

“Apple shares fell $18.55, or 3.6%, to end at $501.75 after the Wall Street Journal and Japan’s Nikkei reported that the company had cut iPhone production plans because sales had come in below expectations,” Gibson reports. “The Nasdaq Composite lost 8.13 points, or 0.3%, to 3,117.50. Apple has a significant impact on the major stock indexes. It has a 3.8% weight in the S&P 500 and a 10% weight in the Nasdaq Composite, and is the largest stock on both. It’s not a member of the Dow average.”

Read more in the full article here.

MacDailyNews Take: The things that bothers us most about Apple’s decline today is that, obviously, there are so many low information AAPL investors out there.

Don’t invest in that which you do not even remotely understand.

Related articles:
Apple iPhone 5 production cut signaling a new product release? – January 14, 2013
Apple drops to 11-month low on old reports of component cuts – January 14, 2013
The strange math of Apple’s alleged massive iPhone 5 component cuts – January 14, 2013
UBS analysts: Apple iPhone component order reduction ‘old news’ – January 14, 2013
Apple pulls down U.S. futures – January 14, 2013
Apple shares drop below $500 after reported cuts in iPhone 5 parts orders – January 14, 2013


    1. Yeah. It’s not necessarily about understanding the strength in Apple’s stock for everyone. Sometimes people are trying to just save money and wait for when the stock manipulators reap the benefits of what they sewn and make Apple’s stock skyrocket again. I imagine you have to play by their rules if you play in that cesspool of terror!

    1. Sure, only americans understand Apple. The rest of the world understands that Apple has got severe problems. Apples products and OS are oldfashioned, customers are leaving them for Android and others. Remember Quark? Microsoft? When will you ever learn … wake up! 🙂

      1. Oh like Microsoft and their dozen attempts to enter the mobile market and fail? Who wants Windows 8 or RT? It’s a joke, Half the OS is full of outdated drivers and non used code. What is Apple’s True problem? They Sell Millions so of product every Quarter, The Shelves are bare at the stores. The Apple Stores are packed with people. What problem??

  1. why don’t these astute geniuses think about the possibility this might have something to do with corning glasses announcement about the next gen gorilla glass harder and thinner means a redesign of bezels in the next phone or subsequent editions of this phone apple will put whatever it takes into the glass scratch problem. cheap shares for sale bears think they deserve a 425 price and they will use every halfassed trick to get it

  2. Those dollars didn’t really exist. That’s imaginary money. It’s like when my house was appraising for 1.7 million and when I finally sold it, it was $500,000. It’s all a scam. Heh.

    Now if $17 billion dollars worth of gold vanished from the treasury, then I’d be worried. >.>

  3. Its called carma. Way too busy here bagging the opposition and feeding each other bullshit all these months and not listening to facts. But let me say it again. Apple are finished as world leaders. Samsung have defeated the money hungry, selfish, lying, selfcentered thieving company you call Apple. Best news for 2013. I for one will be lining up for a samsung s4 with revolutionary unbreakable screen at half the cost and ten times the features of any iphone we will ever see.

    1. You are completely right. I loved my iPhone 4 but apple’s dreaming if they think they can make the screen a little longer and expect me to jump back into a 2 year contract.

      They better get innovating soon because Samsung and android are moving ahead very quickly.

    2. Samsung’s hiring people to troll against Apple on the internet.

      That doesn’t sound like the behavior of a winner to me. More like the behavior of a desperate loser. Which makes sense, considering that every piece of actual data indicates Samsung’s smartphones/tablets aren’t selling too well(like the numbers that came out during the Apple v. Samsung trial), despite their wild claims of selling tens of millions of units every quarter.

      I wonder how much longer they can keep lying?

  4. “The things that bothers us most about Apple’s decline today is that, obviously, there are so many low information AAPL investors out there.” —MDN

    What bothers me most is that there are so many poorly-informed financial analysts out there confounding investors with their knee-jerk reactions to movements in Apple stock.

    1. I think MDN is spot on. But low information investors also drove the price to $705. Don’t forget that. Everyone jumped on the bandwagon and drove the stock price too high too fast. I know, Apple investors don’t want to hear that and in particular fanboys can’t stand to hear that but that is obviously the truth. That’s the reason I got out at $700. Too high too fast and I had made too much money too fast. Not that I’m complaining but I knew when to get out. Many did not. It will go up again and may even shoot up in spurts. But please, next time you are way ahead take your profit. It’s the stock market, it happens to all stocks. It will go up. It will come back down. But it is a good long-term investment. That doesn’t mean buy and hold forever. The last three months should be a good enough lesson for anyone paying attention.

  5. It’s an incredible equation Apple is valued by, the share price is in an inverse proportion to it’s revenue, profits and cash reserve. The more money Apple makes, the lower the value of the company becomes.

    How is it that Jeff Bezos is able to do the exact opposite with Amazon and yet Tim Cook can’t manage to do what Jeff Bezos is able to do? The more money Apple makes, the weaker it seems to Wall Street. Apparently, fundamentals no longer have any value and shareholders are at the mercy of a big spinning wheel which could stop on any number at any time. I might as well head out the the nearest casino and place my bet. Charts, graphs and balance sheets are only good for making paper airplanes and absolutely of no use to properly choosing an investment. It appears this quarter is going to be a disaster for Apple shareholders.

    1. @Laughinh_Boy48,

      Let’s see how the market reacts if Apple reports solid earnings growth for last quarter. This could be a great buying opportunity.
      Tim Cook, however, should also split the stock 10:1 and implement some buybacks. A lot of dumba$$es think AAPL is “high” because the numerical value of each share is several hundred bucks; this causes them to panic and sell on every bad rumor. As we have seen the last few months, these types of investors are necessary to keep AAPL at a fair valuation. Besides, if Apple believes in its future, this is a good investment opportunity for Apple.

  6. Wall Street is no friend of Apple Corporation. Never has been. never will be. Apple doesn’t play by their rules. It doesn’t need stock funds to function. The anal-cysts are the ones swooning because they manipulated the stock in their favor.

    When stocks drop, “somebody” buys it. Follow the money. Who makes $$ on the delta? That is why they call them “breakers” of stock. They play you and you are broken.

  7. The Drop came from the pre-market trades, as everyone read the news of the screen order cut(Which was stupid to believe). Seems like people have no faith in Apple. Every time I go to Target and look at the shelves, what’s missing? Apple Products!? most people have iphones, ipads, only people who can’t afford those have the other stuff. The Financial report is next week and the stock holders are afraid of this one story? pfft. I’m going Long on this stock as the confidence of people wanting their products is high. and that story on Yahoo about kids wanting MS surface tablets was a joke.

  8. seems apple inc has made one mother f–cker of an enemy. as the last great de facto american capitalist company, i wonder which marxist communist proponent that could be?

    in the words of that great tennessee williams character, big daddy, “… you smell that brick? that’s the powerful odor of mendacity?”

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