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Apple introduces the iPhone 5 earlier this year in San Francisco. Will it sell enough this year to satisfy Wall Street?
There's a bunch of Wall Street trader stuff happening with Apple right now, as the company heads for the critical conclusion to the holiday shopping season. Analysts who follow the stock have been downgrading their price targets and trimming expectations for the company, which has been on an epic tear for the past two years, but which has also seen its share price collapse in recent months, from a high of more than $700.
This could yield some short-term volatility for AAPL. (That's the company's stock market ID.)
Will it plunge again?
If it does, you might want to take Slate tech writer Farhad Manjoo's sage advice and buy a share of Apple, rather that wasting the money on an iPad.
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Coming soon to an Apple Store near you: iTV?
Will they or won't they? That's been the burning debate in tech/Appleology circles over whether Cupertino will roll out a high-end, thoroughly Apple-ized high-def TV. I've been pondering this question pretty regularly, given that I think Apple is at the tail end of an innovation cycle that started with the iPod (reinvented music), then moved on to the iPhone (an iPod with a phone, re-invented mobile), and then brought out the iPad (a big iPod, poised to decimate the low-cost PC market). What's next?
A TV set — versus the current AppleTV box — seems obvious. The reinvention factor will be the delivery of TV content. And therein lies the challenge: Apple has put, in sequence, the music industry, the wireless industry, and the publishing industry at its feet. Will Hollywood and the cable companies agree to play by Apple's terms?
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Customers test new the IPad at an Apple store. Apple beat quarterly earnings expectations today by a very decent margin.
If you've been hiding in your bomb shelter, you probably missed Apple's precipitous stock-price drop last week and this, bottoming at $560 per share today and giving up, like, $100 billion in market cap. But then the magic of shattered earnings expectations hit and hit HARD. The company made $11.6 billion in its second fiscal quarter and earned $12.30 per share. That killed the expectation of $10.06 per share, according to Business Insider.
More importantly, the "weakness" in iPhone sales didn't materialize — Apple sold 35.1 million, nearly five million more than expected. This was one of the possible negatives driving Apple share price down, as analysts speculated on what remains the core of Apple's business.
There is a hint of bad news amid all this boffo good news, which has pushed Apple right back up to $600 per share in after-hours trading (a whopping 7.35-percent increase). The theoretically revolutionary iPad sold "only" 11.8 million units, below the 13 million that were anticipated.