Name
Parent Directory
Driving Apple Stock Down
On January 30th, the Wall Street Journal wrote:
Apple Inc. is slashing planned production of the iPhone X for the three-month period ending March 31, people familiar with the matter say, in a sign of weaker-than-expected demand for the pricey handset.
and
Analysts have already started lowering their iPhone shipment expectations for the current quarter, pointing to weaker business results from crucial Apple suppliers. Still, sales of the pricier iPhone X, iPhone 8 and 8 Plus are expected to lift the average iPhone selling price and boost revenue from the same period a year earlier.
This just stinks of stock manipulation: trying to drive the stock price down before the earnings call in two days.
[updated on February 2nd, after Apple’s earnings call]
On the iPhone, unit sales were down about 1 percent year-over-year, but revenue was up about 6 percent.
And this year’s holiday quarter was one week shorter than last years — and the much-anticipated iPhone X didn’t get into customers’ hands until November 3, over a month into the quarter.
The average selling price for all iPhones went up $102 year-over-year. Seems like proof that the iPhone X strategy is working.
So, if someone bought stock the eve of the earnings call and sold it a day later…
On Friday, AAPL closed at 171.51 (before the WSJ article)
By the end of Tuesday, AAPL fell to 166.97 (day of the WSJ article)
©Andrew Swift · top · more · contact