Apple Inc. (NASDAQ:AAPL) stock can still go down, say the tech charts
Posted by Tim Bethel on January 21, 20130 Comment
Technical analysts feel that the Apple Inc.(NASDAQ:AAPL) stock is likely to see more weakness in coming months as the trading charts show very few price points where they show clusters of buying to support the company’s shares.
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The stock’s medium-term momentum, based on its 50-day rate of acceleration, has been on a downward slope since March, but has not hit over-sold levels.
Some analysts feel that it is difficult to find an entry point at the current levels.
Its December quarter results forecast also do not show much for cheer as the Street is disturbed over reports that the company might be reducing its requirement for screens for its iPhones. Together, the iPhone and the iPad account for over 70 percent of the company’s revenues.
Analysts on average estimate Apple’s fiscal first-quarter earnings per share at $13.41, down slightly from $13.87 in the year-earlier quarter. Revenue is seen up 18 percent at $54.7 billion.
Wall Street estimates Apple sold between 47.5 million and 53 million iPhones, up considerably from the 26.9 million sold in the previous quarter, when the iPhone 5 had not made it to all markets. iPad sales are expected at 23 million to 25 million.
Apple shares have fallen about a third from the high levels that the shares had hit in September, at the time that it had launched the iPhone 5.
However despite the rather pessimism surrounding the stock in the Street, the bulls still outnumber the bears.
Forty-eight out of 58 equity analysts who cover the stock rate it a “Buy” or “Strong Buy” and another seven say it is a “Hold,” according to Thomson Reuters data. Only three recommend that investors sell the stock.
Tags: aapl, Apple Inc, Apple Inc.(NASDAQ:AAPL), NASDAQ:AAPL