“When Apple was last this far from its highs, it had a massive surge over the next year,” Keris Lahiff reports for CNBC. “In May 2016, the stock had fallen 33 percent from 52-week highs. Over the following 12 months, it rallied 75 percent. Apple begins this week exactly as far from its record peak hit in October: 33 percent.”
“Craig Johnson, chief market technician at Piper Jaffray, said the recent slump in Apple echoes that move in 2016,” Lahiff reports. “‘Look at the correction that we’ve had — over 30 percent peak to trough — we’ve seen this before,’ Johnson said Friday on CNBC’s Trading Nation. ‘I don’t think investors are going to get many opportunities to buy a high-quality stock like this on that kind of a correction-slash-setback.'”
“Wall Street tends to agree. While the shares have plummeted, analysts have stuck to their price targets,” Lahiff reports. “The average price target on Apple is 40 percent from current levels…”
Read more in the full article here.
MacDailyNews Take: As always, Wall Street is a risk and everything’s a bet, but some bets are surer than others.
In fiscal year 2018, Apple’s revenue grew over $36 billion to $265.6 billion. For the current quarter, Apple has guided for revenue between $89 billion and $93 billion, a new all-time record. (That’s revenue of roughly $1 billion — with a “B“ — per day.)
When analysts learn to see without the unit share blinders Apple has just removed, hopefully their eyes won’t pop out of their heads when they finally see those huge numbers and realize how very much more is to come. — MacDailyNews, November 28, 2018
When the lemmings, er… “analysts” start their upgrade parade, then you’ll know the bottom has been found. – MacDailyNews, November 26, 2018
History is nice, but no guarantee for what will happen in the future. I don’t want to get my hopes up with Apple’s future share price gains and can only hope it gets back at least half of its recent losses by sometime next year. This whole Apple value collapse has been a downer for me considering it was the first company to reach $1T in market cap value. As most of my shares were bought back in 2004, I haven’t suffered any major losses and I’m still getting my dividends.
I never thought a company could lose that much value ($300B) so quickly short of a depression or war. I’ve lost faith in the entire stock market and I can’t depend on any company holding its value. So many investors are too cowardly for me to understand. If Apple goes back up again, all well and good, but I’m not counting on it. The news media is pounding Apple relentlessly. I think the other FANG stocks will benefit far more than Apple as the market recovers.
I wish fellow Apple shareholders good luck in the new year and hopefully it won’t be as bad as this year turned out to be.
I have had stock since 2003 and bought my final batch in 2007. Currently at 1500% gain even with this huge dip. This has happened many times and not with stressing about until you sell the stock.
The market is fickle and you’ll see more of this in a boom and bust economy.
the AAPL train is leaving the station… who among us thought we were getting another bite at AAPL under $150… you’ll be kicking yourself later for not getting more
Except that the Fundamentals haven’t changed (risk of China tariffs). As such, there’s no reason to expect a price recovery yet.
I just want an ACTUAL Mac that does all the mac things like they used to.