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From the press release (emphasis mine): The Company posted quarterly revenue of $49.6 billion and quarterly net profit of $10.7 billion, or $1.85 per diluted s
by luso_brazilian 11y ago
From the press release (emphasis mine):
The Company posted quarterly revenue of $49.6 billion and quarterly net profit of $10.7 billion, or $1.85 per diluted share. (...) Gross margin was 39.7 percent compared to 39.4 percent in the year-ago quarter.
Investor conclusion: Apple is not doing so well. There is something wrong with the stock market when a company post record profits, almost 40% margin (on electronics) and that's seen as an omen.
I understand it is the opposite, brokers bet earlier that the results would be even better and are now unloading the bets at a lower price (causing the market correction) but even so it is amazing how detached stock brokerage is from investment and how close it is from gambling.
- airza 11y agoPart of the value of the stock is expected returns, and if the expected returns suddenly change than the value of the stock will suddenly change too. I don't think that it's necessarily an omen.
- forgetsusername 11y ago>but even so it is amazing how detached stock brokerage is from investment and how close it is from gambling. Funny, I reach the exact opposite conclusion: people were willing to pay a specific price for Apple dependent on the expectations of future earnings. Those earnings didn't meet expectations, therefore the market adjusted the price. Working as intended.