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Why is the stock down 5% on an announcement that beats estimates, and is a record for the company, along with positive guidance. Because revenue growth is star
by corresation 14y ago
Why is the stock down 5% on an announcement that beats estimates, and is a record for the company, along with positive guidance.
Because revenue growth is starting to fade away and margins are being hurt. Despite a lot of really, really ridiculous things said about equities here on HN (or any tech board), the market is quite rational and future-facing. Look back on all of the absurd conspiracy theories about options traders keeping AAPL down, and compare with the reality that it is down 6% aftermarket today. Of course it's down from enormous heights, so in no universe is Apple in imperiled or any nonsense like that, but it simply isn't the darling that it was a year+ ago.
- millstone 14y agoIt's currently down over 10% aftermarket. I don't think it's fair to characterize Apple as "down from enormous heights." Throughout 2012, Apple's P/E meandered between 13-15, which puts it in the company of stocks like IBM and MSFT, and below Oracle. Even at its 700+ highs, Apple's P/E never came close to that of Google. It doesn't seem like a bubble.
- corresation 14y agoSorry I didn't mean to imply that it was a bubble or anything like that, but rather just that having a market cap of $700 billion put them in very limited company. It was a well earned position, however.