Your Web News in One Place

Help Webnuz

Referal links:

Sign up for GreenGeeks web hosting
January 24, 2013 02:58 am GMT

Apple Shares Fall 10% In After-Hours Trading, Biggest Drop In Years

Stock-Market-NasdaqApple just announced its Q1 2013 earnings, and investors don’t seem to be convinced. The company missed on revenue and exceeded expectations on earnings per share. After a solid day for Apple shares (NASDAQ:AAPL), the stock dropped more than 10 percent in after-hours trading, inducing a big market capitalization meltdown. It is the biggest drop of the past few years by far for Apple shares. As I previously wrote, Apple suffers from a lot of uncertainty and volatility these days. But again, investors just shaved off $50 billion market cap. As Apple is the biggest traded company in the world, a double digit drop is massive. It doesn’t mean that Apple shares will drop even more tomorrow. It is a short-term reaction to somewhat disappointing quarterly earnings. Apple still generated $13.1 billion in profit — nothing to be ashamed of. Even more important, today’s earnings were highly anticipated as analysts and investors didn’t know what to expect. Apple reported results that were very close to analysts’ expectations. Today may mark the end of such a high volatility level for Apple shares. Yet, today’s meltdown is a milestone for Apple shares, which has been steadily growing over the years under Steve Jobs and Tim Cook. With $196 billion in assets, those assets represent a good portion of Apple’s market capitalization of $484 billion. It remains to be seen whether analysts believe that Apple is fairly priced or not. When it comes to revenue and profit, it was Apple’s best quarter. But shareholders expected more. Developing

Original Link: http://feedproxy.google.com/~r/Techcrunch/~3/8tnZn4_yCUU/

Share this article:    Share on Facebook
View Full Article

Techcrunch

TechCrunch is a leading technology blog, dedicated to obsessively profiling startups, reviewing new Internet products, and breaking tech news.

More About this Source Visit Techcrunch