Apple stock implosion shreds $113.4 billion and counting

“Apple shares are down significantly for the second day Tuesday – bringing investors’ paper losses to staggering levels and putting the stock further into correction territory,” Matt Krantz reports for USA Today.

“Shares of Apple are off $3.22, or 2.7%, to $115.23 in afternoon trading Tuesday – meaning they’ve fallen more than 14% since hitting their high of $134.54 on April 28,” Krantz reports. “Given the massive size of Apple’s market value – this sell off is enormous in that it has wiped out $113 billion in paper wealth. The sell off essentially erases more than the entire market value of corporate giants including Nike at $98 billion or McDonald’s at $95 million, separately.”

“While the stock has collapsed below its average price the past 200 days, that’s not necessarily a bad thing, Bespoke says. Apple shares have cratered below the 200-day moving average 17 times before. Over history, the stock has typically shaken off the stupor in about a month, Bespoke says,” Krantz reports. “But even Bespoke is cautious. ‘By itself, that (stock’s history of bouncing back after falling below the 200-day moving average) is probably not the best reason to go out and buy the stock,’ according to a Bespoke report.”

Read more in the full article here.

MacDailyNews Take: The potential profitability of irrational overreactions is massive!

SEE ALSO:
About all of those reports that Apple is in dire straits – August 4, 2015
Continued Apple swoon could crush this market – August 4, 2015
Apple replacing AT&T causes Dow Jones Industrial Average to suffer – August 4, 2015
Apple stock now officially in correction territory as it crosses below key technical level – August 3, 2015
Nasdaq retreats amid tech selloff after Apple’s record results – July 22, 2015
Apple earnings: Good is never good enough – July 22, 2015
Cowen downgrades Apple on record quarterly earnings results – July 22, 2015
For Apple, more success raises more questions – July 22, 2015
Sorry, haters: Tim Cook confirms Apple Watch sales are much better than you think – July 22, 2015
Here’s how many Apple Watch units Apple sold – July 22, 2015
Drudge screams: ‘APPLE FUTURE QUESTIONED’ – July 21, 2015
Apple poised for $50 billion valuation loss after posting ‘disappointing’ record earnings – July 21, 2015
Apple shares plunge after ‘disappointing’ record third quarter results – July 21, 2015
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

22 Comments

      1. Why not put the question mark after “months”, and leave it at that?

        How sad you can’t make a simple point like that without adding an insult. How sad that’s your way of feeling good about yourself.

  1. Tim Cook’s evaluation period – the “give him the benefit of the doubt” period – has now reached its expiration date, and the market has found him sorely wanting – just like that moron from Pepsi.

    Too many screw-ups, major screw-ups, unfixed, lingering, ongoing screw-ups.

    A lack of focus, of vision, of discipline, of direction, of execution.

    A noticeable decline in the quality of software across the board.

    Slumming the Apple brand with low-rent ghetto trash.

    Unmet promises (i.e., “Epicenter of Change” indeed).

    Can’t even make a recharging/data cable that doesn’t prematurely wear out, forcing customers to pay 30 bucks or more for a new one.

    Misplaced priorities: Alienating millions of customers and potential customers, and violating his fiduciary obligations by abusing his position as Apple CEO – a PUBLICLY traded company – to ram his PERSONAL leftwing agenda down the throats of a weary public that would prefer to be left alone – and most particularly, the radical, militant agenda of the 2% of our population that suffers from homosexual degeneracy.

    1. “Slumming the Apple brand with low-rent ghetto trash.”

      In other words Dr. Dre and all those black celebrities who rock Beats headphones.

      The funny thing is that Dre has been out of the ghetto for decades, a married man raising his children in some suburban enclave where he’s paid tens of millions in property taxes, and still he’s “ghetto trash.”

      1. You can take the ghetto trash out of the ghetto, but you can’t take the ghetto out of the ghetto trash.

        Additionally, it’s kind of funny how, when a black ghetto goblin gets his hands on some money, he always seeks out a white neighborhood in which to live. Everyone knows that the closer blacks can get in proximity to white people, the higher their standard of living – whereas that same dynamic diminishes the standard of living of those very same white people, particularly in regards to real estate value and crime, which blacks adversely affect wherever they go.

      2. And by the way, remember Apple’s suck-up to someone name “Drake” at their recent and quite embarrassing Apple Music announcement? Check out what happened last night at this “Drake” person’s party last night in Canada: a ghetto trash shooting. Yup!

        http://www.nydailynews.com/news/crime/shooting-breaks-drake-afterparty-killing-2-article-1.2313829

        And here’s what happened last night at a “hip-hop” party in New Jersey: Yes, another shooting by ghetto trash. Yup, again!

        http://apnews.myway.com/article/20150804/us–concert_shooting-66d0850168.html

        If you like ghetto trash so much, how about you get your sorry self to the ghetto and make some friends.

        Are you white? If you had a beautiful blonde 16 year-old daughter, would you feel good about letting her hang out with ghetto trash? Would you, in all your liberal bleeding heart goodness, let her go to the ghetto and meet all of those wonderful, cultured, well-meaning and civilized people?

        OF COURSE you would!

          1. Try and calm down and don’t blow a gasket. This meltdown of yours tells me I really struck a raw nerve, and what makes it worse is that you can’t refute me – hence the schoolyard temper tantrum.

            1. Typical reply of a mental midget who got in over his head and can’t muster a single solitary argument.

              And one wonders, if my “vitriolic ravings” are supposedly not worth addressing, then why did you address them in the first place? You can’t have it both ways!

              Lastly, it’s interesting that you’re the one delivering all of the vitriol here, even as you accuse me of being vitriolic. That’ scaled projection.

              Have a nice day!

  2. From air to air… How poignant.

    It’s too bad that many Apple investors are just in it for the quick buck. Amazingly they are the ones who are loosing all the cash by checking out. I wonder who’s getting rich from the drop, this time?

    1. What exactly Warren Buffet quote, would you help me to refresh my memory, fill in the blank?. “Be greedy when others…………………….”.
      I am already in AAPL position will hold them through this volatility, don’t have any money to buy more shares.

  3. This happens all the time with AAPL — like every few years. I expect it’ll drop into the 90’s before things swing (which means that it’ll probably drop into the low 100’s and turn around right before I decide to buy). Nothing to see here but a huge unspoken agreement among the powerful to race eachother to sell so they can race each other to buy back.

  4. I like how when a stock price drops, it’s always called a correction, as if the ideal stock price is $0.00.

    I just think stock buyers are looking for the next quarter’s price gain, and base that on things they think will affect the price. If they think China’s economy is taking a dive that will affect the ability of Apple’s China customers to buy new stuff, that means Apple has no immediate opportunity for a quick buck. With China as Apple’s new playground, that’s important.

    The new Apple Watch is a great new accessory (I love mine), and potentially much more as the technology catches up, but it won’t be much of a new cash cow in the immediate future. Only a subset of iPhone owners can make use of it.

    The upcoming Apple TV refresh may actually be more important, since anyone can use it, and it may provide the hardware/software infrastructure for future subscription services, which could lead to increased cash gains each quarter, if its services catch on.

    Of course the new iPhone 6ses will also sell well and fill Apple’s coffers again, but these stock buyers aren’t looking for continued value. They’re looking for an escalating cash inflow, and if Apple can’t deliver, it’s time for them to sell and move on to another growth stock.

    So, all in all, maybe it’s time for the quick buck investors to move on, and leave the residuals to those of us who are in it for the long haul. Let Apple buy back some of these lower cost shares to enhance the value of the ones I own. And, leave some of the cash hoard to bankroll our dividends while we wait for the next Apple big thing.

  5. I think they’re currently paying the price of having a pretty tired lineup. Yeah, they’re selling boatloads of iPhones and laptops, but they didn’t even try with the new Nano, and that used to be their experimental product. No new ideas? That’s bad news for Apple. Wish I could buy more stock because they’ll find their inspiration again.

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