I read an article in USA Today last week that suggested the real reason for the downturn in stock is how the company reports its earnings expectations. Under Steve Jobs, the company released grossly underestimated earnings forecasts the company would routinely easily surpass. Under new CEO Tim Cook, the company now releases more realistic earnings estimates. While the company still surpasses the more realistic expectations, less savvy investors assume the company is not doing as well as when earnings forecasts were grossly under estimated.
Uh, I now folks who bought quite a bit at $35 a share.Yes, it took a little dive, but it once again proves how WRONG the market is run today by brokers. Stocks should be long-term investments, not overnight swaps. That’s one good reason to look at raising capital gains to the same level as gambling earnings, and collect as soon as they turn a profit, just as those nice IRS dudes do at the casinos if you hit a big win!
^Simple, the purpose of selling stock is to get the money to build your business, make improvements, and pay back the folks over time with dividends. We own stocks too, and mutuals. While someone else trades the latter, we usually keep our stocks for the dividends, not just growth (but yes that’s nice). Day trading IS gambling, sorry, personal view, but not only mine. Computes making those trades, thousands per second based on algorithms is even “weirder” when considering the original purpose. Likewise, “futures” markets used to see “speculators” actually have physical control of the product for a period of time, be it oil, or grains, etc. That market too has gone bananas. (Chiquita might lose her skirt, and her shirt.)
Slightly above “median”, but smart enough to save, invest, and care about my country, not just my friggin’ wallet, after 50 years of working, retired, and worked for many years with disabilities, so find the real hypocrites to be those on the right, sucking up “entitlements”, when they complain bitterly if they feel they aren’t getting “their” share, or have to pay taxes, like I have since age 11 for SS and income.
Two things have effected this price drop: 1. People taking gains before the expected tax increases go into effect.2. Short sellers manipulating the stock price (through WSJ and Forbes speculative articles based on rumors).
None of which reflects the company’s true value, but rather the nature of the high stakes casino that is wall street.
Apple will continue to be a very profitable company, but it is difficult to maintain biggest company status with a fairly narrow, highly competitive product line. I’d like to see Apple pay out some of that cash stash in dividends.
Jason Allen over 11 years ago
I read an article in USA Today last week that suggested the real reason for the downturn in stock is how the company reports its earnings expectations. Under Steve Jobs, the company released grossly underestimated earnings forecasts the company would routinely easily surpass. Under new CEO Tim Cook, the company now releases more realistic earnings estimates. While the company still surpasses the more realistic expectations, less savvy investors assume the company is not doing as well as when earnings forecasts were grossly under estimated.
Dtroutma over 11 years ago
Uh, I now folks who bought quite a bit at $35 a share.Yes, it took a little dive, but it once again proves how WRONG the market is run today by brokers. Stocks should be long-term investments, not overnight swaps. That’s one good reason to look at raising capital gains to the same level as gambling earnings, and collect as soon as they turn a profit, just as those nice IRS dudes do at the casinos if you hit a big win!
Dtroutma over 11 years ago
^Simple, the purpose of selling stock is to get the money to build your business, make improvements, and pay back the folks over time with dividends. We own stocks too, and mutuals. While someone else trades the latter, we usually keep our stocks for the dividends, not just growth (but yes that’s nice). Day trading IS gambling, sorry, personal view, but not only mine. Computes making those trades, thousands per second based on algorithms is even “weirder” when considering the original purpose. Likewise, “futures” markets used to see “speculators” actually have physical control of the product for a period of time, be it oil, or grains, etc. That market too has gone bananas. (Chiquita might lose her skirt, and her shirt.)
Dtroutma over 11 years ago
Slightly above “median”, but smart enough to save, invest, and care about my country, not just my friggin’ wallet, after 50 years of working, retired, and worked for many years with disabilities, so find the real hypocrites to be those on the right, sucking up “entitlements”, when they complain bitterly if they feel they aren’t getting “their” share, or have to pay taxes, like I have since age 11 for SS and income.
kballweg Premium Member over 11 years ago
Two things have effected this price drop: 1. People taking gains before the expected tax increases go into effect.2. Short sellers manipulating the stock price (through WSJ and Forbes speculative articles based on rumors).
None of which reflects the company’s true value, but rather the nature of the high stakes casino that is wall street.
http://bit.ly/143O16y
Gypsy8 over 11 years ago
Apple will continue to be a very profitable company, but it is difficult to maintain biggest company status with a fairly narrow, highly competitive product line. I’d like to see Apple pay out some of that cash stash in dividends.