Again the same thing over and over, the stock rallies for 4-5 years, everyone thinks it can only keep going and going and going and going until one day it reaches the top and declines, as I have said many times no company stays on top forever and this is just another lesson learned about how great stocks such as apple can fall hard when you least expect it....this was a $700+ stock less than a year ago now around $400 and with earnings next week who knows where its headed, competition is the strongest its ever been for them.....when analysts start to come out and place cool $1000 price targets on stocks its time to get out, just like apple was suppose to be the first trillion dollar company well that has been forgotten after this latest decline in its stock price. If earnings next week dont show this stock could easily fall to $250-$300 a share!
Apple Breaks Below $400 for First Time Since December 2011
Published: Wednesday, 17 Apr 2013 | 5:08 PM ET
By: JeeYeon Park
CNBC.com Writer
Apple tumbled to its lowest level in over a year, as investors continued to dump shares of the tech company amid worries over second-quarter iPad mini shipments.
The once-darling tech giant of Wall Street shed nearly 6 percent Wednesday, briefly breaking below $400 a share for the first time since December 2011, following a report from DigiTimes that iPad mini shipments could fall 20 percent to 30 percent quarter-over-quarter, to 10 million to 12 million in the June quarter, because of "lacking demand in the market."
"We continue to see risks to [Apple's] consensus estimates, primarily with respect to the June quarter," wrote Edward Parker of Lazard Capital Markets. "June should be the trough quarter ahead of multiple new product introductions into this summer and into fall."
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What Will It Take For Apple to Hit $888?
Brian White, Managing Director & Senior Analyst for IT Hardware, Networking & Tech Supply Chain at Topeka Capital Markets says Apple's stock is going through a bottoming process. He thinks the opening up of new market opportunities will help propel Apple's stock higher.
Adding to worries, Apple supplier Cirrus Logic plunged nearly 15 percent after the audio chipmaker estimated fourth-quarter revenue below Wall Street projections, and first-quarter revenue forecast also fell short of expectations.
Other Apple supplier, including Qualcomm, Avago Technologies and Skyworks, also traded sharply in negative territory.
Most recently, widely followed Apple analyst Gene Munster of Piper Jaffray cut his price target to $688 from $767 based on the belief that the company will release a lower-priced iPhone, which will cannibalize higher-priced iPhone sales.
Munster also expects Apple's earnings to be weak, and the guidance for the June quarter is going to be worse than expected. Still, he maintained his "overweight" rating on the stock. Apple is scheduled to post quarterly results next Tuesday.
Apple shares have vastly underperformed the broader market amid revenue concerns, plunging almost 25 percent year-to-date against the S&P 500's 9 percent rally. Apple shares have dropped a staggering 40 percent and wiped out more than $250 billion in market cap since hitting an all-time high of $705 a share in September when the iPhone 5 went on sale.
"Clearly, it's been a rough six months for the stock," Parker wrote. "Sentiment has gone from bad to worse as the overhang from the disappointing December quarter call has been compounded by a steady stream of negative industry supply chain checks."
Still, Parker said he continues to like Apple as a "storage" company and has a "buy" rating on the stock with a $540 price target.
Apple Breaks Below $400 for First Time Since December 2011
Published: Wednesday, 17 Apr 2013 | 5:08 PM ET
By: JeeYeon Park
CNBC.com Writer
Apple tumbled to its lowest level in over a year, as investors continued to dump shares of the tech company amid worries over second-quarter iPad mini shipments.
The once-darling tech giant of Wall Street shed nearly 6 percent Wednesday, briefly breaking below $400 a share for the first time since December 2011, following a report from DigiTimes that iPad mini shipments could fall 20 percent to 30 percent quarter-over-quarter, to 10 million to 12 million in the June quarter, because of "lacking demand in the market."
"We continue to see risks to [Apple's] consensus estimates, primarily with respect to the June quarter," wrote Edward Parker of Lazard Capital Markets. "June should be the trough quarter ahead of multiple new product introductions into this summer and into fall."
Play Video
What Will It Take For Apple to Hit $888?
Brian White, Managing Director & Senior Analyst for IT Hardware, Networking & Tech Supply Chain at Topeka Capital Markets says Apple's stock is going through a bottoming process. He thinks the opening up of new market opportunities will help propel Apple's stock higher.
Adding to worries, Apple supplier Cirrus Logic plunged nearly 15 percent after the audio chipmaker estimated fourth-quarter revenue below Wall Street projections, and first-quarter revenue forecast also fell short of expectations.
Other Apple supplier, including Qualcomm, Avago Technologies and Skyworks, also traded sharply in negative territory.
Most recently, widely followed Apple analyst Gene Munster of Piper Jaffray cut his price target to $688 from $767 based on the belief that the company will release a lower-priced iPhone, which will cannibalize higher-priced iPhone sales.
Munster also expects Apple's earnings to be weak, and the guidance for the June quarter is going to be worse than expected. Still, he maintained his "overweight" rating on the stock. Apple is scheduled to post quarterly results next Tuesday.
Apple shares have vastly underperformed the broader market amid revenue concerns, plunging almost 25 percent year-to-date against the S&P 500's 9 percent rally. Apple shares have dropped a staggering 40 percent and wiped out more than $250 billion in market cap since hitting an all-time high of $705 a share in September when the iPhone 5 went on sale.
"Clearly, it's been a rough six months for the stock," Parker wrote. "Sentiment has gone from bad to worse as the overhang from the disappointing December quarter call has been compounded by a steady stream of negative industry supply chain checks."
Still, Parker said he continues to like Apple as a "storage" company and has a "buy" rating on the stock with a $540 price target.
