Apple shares plunge after ‘disappointing’ record third quarter results

“Apple Inc.’s iPhone shipments for the fiscal third quarter and the company’s revenue forecast for the current period missed analysts’ projections, raising questions over whether demand for the device has peaked. Shares fell as much as 8.8 percent in extended trading,” Tim Higgins reports for Bloomberg.

“Apple sold 47.5 million iPhones, a 35 percent gain, in the period that ended in June,” Higgins reports. “Analysts had anticipated 48.8 million shipments.”

“The company forecast revenue of $49 billion to $51 billion in its fiscal fourth quarter, which ends in September, short of the average estimate for $51.1 billion, according to data compiled by Bloomberg.,” Higgins reports. “‘It’s going to be running up against really hard comparisons,’ said Abhey Lamba, an analyst at Mizuho Securities USA Inc. ‘A lot of people jumped to the larger-screened iPhones, now that we’ve gotten to the point where the innovation in the next release is not going to be as massive as we had last year.'”

MacDailyNews Take: iPhone has massive headroom. Just 27% of iPhone owners have upgraded to iPhone 6 or iPhone 6 Plus. 73% remain poised to upgrade. Abhey Lamba couldn’t analyze his way out of a wet paper bag.

Higgins reports, “Apple shares fell as much as 8.8 percent in extended trading.”

Read more in the full article here.

MacDailyNews Take: The stock market is a game. Play it well.

SEE ALSO:
MacDailyNews presents live notes from Apple’s Q315 Conference Call – July 21, 2015
Apple pulverizes the Street with record third quarter results – July 21, 2015

52 Comments

    1. Apple needs a CEO that can innovate and avoid political controversies… in other words, they need someone other than Tim Cook.

      All Cook is doing is milking the iPhone dry. He did that to the iPad and we see what that strategy led to.

      It’s only a matter of time before the iPhone goes the same way. Then what will Apple have to fall back on?

      The Apple Watch?
      Apple Music?

      That’s what I thought!

      1. I’m getting so tired of you troglodytic half-wits beating this same tired drum again and again. This kind of nonsense with Wall Street punishing record Apple financials for not being a ‘big enough’ record break was just a common an occurrence when Jobs was at the helm.

        1. So… after that splendid display of self esteem, you also seem to have appointed yourself as the major of Smartville. Did I miss your coronation, GruvDOne?

            1. “Hates” must be new to the Apple universe. It has been the same since 1998! Nearly every time that Apple posts increased earnings and record quarters the stock dips. It is uncanny.

              Perhaps the high frequency traders are trying to get an artificial dip so that they can earn billions on the bounce back?

            2. All of you clueless “investors” are just that,clueless. Apple did not knock it out of the park. Even you can see that. Barely beating earnings projections doesn’t get you a prize. And it’s forward outlook by the company itself that really matters. And that was not spectacular either. If they had beat on earnings or more importantly, given great guidance the stock would have taken off. That is reality and simple to understand. Quit your crying. Simpletons!

            3. The P/E ratio should reflect the growth rate. Even at 20% growth rate, AAPL is at a discount, even before the sell-off. It just defies logic here. AAPL is a cheap stock to own, and will be cheaper for a little while. Enjoy the sale.

      2. Market… you are obviously deeply wise in the ways of business.

        So please don’t be modest. Share with us the name of the wonderfully successful company you run, and how much it’s worth.

    2. The buyback committee is thinking the same thing. The strategists are thinking yes, let that watch drag the share price down…. we buy millions for ourselves.. then we release the TV and the car and the spaceship…heh heh heh. (rubbing their hands together greedily)

    3. Based on todays closing PE of 16.25 and the new RECORD BREAKING TTM EPS OF 8.65… Apple should be trading north of 136… …
      This selloff is bs .

    1. Why would anyone invest in a market that burns on fantasy?

      This is equivalent to Christy Yamaguchi getting the gold, but the people being disappointed she didn’t get all tens. Really the market is made up of a bunch of poor winners… or is that winers.

        1. The stock market is not gambling. It is volatile, yes, but it is not gambling. You are buying and selling commodities, equities, and other securities that are valued by a group mind.

          To call it gambling is like saying opening a business is a gamble. Which it is, in a way. But success is based on how well you execute your plan, and market conditions, and your product, and so on.

          When you put money on something that is pure chance, like the spin of a roulette wheel, or the roll of a dice, or some cards that are dealt, then that is gambling.

  1. “Apple sold 47.5 million iPhones, a 35% gain…”

    Did Amazon, Google, Scamscum, Microsoft or any other tech company have a 35% gain?

    Wow, Wall Street and Apple’s competitors are slinging mud and lies fast today.

          1. I look at gains from when I bought the aapl around $10, near a million in profit by basically doing nothing but hold plus thousands in dividends , and somehow I’m not too stressed with your sarcasm.

            🙂

            1. sour grapes huh?

              they are plenty of MDN readers (people who have followed apple for a long time and invested) who made a lot of money off aapl. I’ve followed some commentators for years and if they haven’t sold their shares they said they had years ago they would be worth millions today.

              apple stock growth was 40% last year. YTD for 2015 even with the drop is 14.5.
              Under jobs the stock grew average yearly was 30-40%. . Long term holders have made out like bandits. LOL.

            2. FORTUNE 2012:

              “Jobs passed the baton to current CEO Tim Cook last year, annual revenue had reached $110 billion, the stock was at roughly $380 per share and Apple’s market capitalization had reached $360 billion (for a 100-fold return in about 15 years or about 35% compound annual growth rate ).”

              Who is the dumbs shit now?

            3. ah I feel the pain of Mona morons,

              the people who missed out on one of the biggest and easiest fortune creating stocks ever : aapl
              so many people with little investing knowledge but a love of Apple have become rich buying small amounts of aapl.

              Using ‘dumbshit’ etc , you can feel the SEETHING frustration of the apple hating idiots.

    1. We can not argue with the almighty Wall Street. After all WS has more power than anyone on this planet earth. It holds Apple to different higher standards regardless how many billions Apple has gained or earned every quarters. 🙁
      I should change my nick name to iCry.

    1. It’s earnings. A crapshoot for most companies. AAPL is no exception. And AAPL is not targeted either. Happens 4 times every year. Only fools whine and cry about earnings results. Understand investing in the stock market or buy savings bonds.

  2. The stock analysts are IDIOTS!!!!
    Google barely makes forecast and there stock soars $85 a share. Apple reports record earnings for the last 10 years and the stock falls every time with some sort of piss poor excuse every time.😡

  3. Short-sightedness, mixed with greed – not a great recipe for the future. CEO’s are trained to focus on the next quarter, Wall Street trading computers on the next nano-second and the well-cultivated American couch potato on the next 60 seconds…

  4. the stock market is often an unfathomable game and aapl is held to standards not used for other companies. Long term though aapl investors have been rewarded.

    still as I’ve often said before (and been flamed) I wish Apple would improve it’s marketing and PR. PR improves the IMAGE of Apple which is obviously low otherwise the stock’s PE would be better and marketing improves sales.

    Marketing. Look: one bright spot is Macs and yet (as I’ve complained for years) Apple basically does NOT advertise them for some reason. there hasn’t been a serious Mac campaign since Mac/PC guy (66 different ads in 4 years) more than half a decade ago in spite of Win 8 fiasco.
    Why is this? (mac sales have actually saved aapl’s bacon a few quarters by pushing Apple’s total profit past estimates. Macs can sell even MORE if they advertised… )

    Has any of the recent marking campaigns matched 1984, Think Different, Dancing iPod silhouettes etc? I don’t think so.

    I go on about marketing and PR issues (like the bizarre free Bono album into your device, the strange advertised April 24 Apple Watch launch etc) but I want to stop going novel length (again on this).

    Apple is doing well and sales are great but it can be BETTER if their Marketing is Top Class like their Hardware . their IMAGE would be better if their PR was better as well . Apple rightly focuses on the Product but once the stuff is done, sell it to the max both physical sales and image.

    1. one more reason for pushing Macs is that successful secondary products reduces the impression that Apple is a ‘one product’ (iPhone) company , an impression which hurts the stock.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.