1: Management is intentionally letting this stock get hammered so they can provide their employees with stock options, at very attractive pricing, with complete disregard to its shareholders' (very likely);
2: Apple is saving its powder for a very large acquisition (highly unlikely);
3: Apple's management following Steve Jobs' passing is totally incompetent, well beyond anyone's worst expectations (highly likely).
There is no other possible explanation for management's total silence throughout this pummeling, or their unwillingness to buy Apple's shares at this low valuation. For the record, I am long, way long. Had way too much respect for Apple's products, and thought that they were bullet proof even to the worst of managers. Guess that I didn't account for Tim Cook's ability to submarine this stock like he has.
Does anyone know at what level the rules will force Apple to act? I read that there is a minimum cash to market value rule and that may be what we are being pushed down to.
Also, where can I hear or read the comments from the investor meeting this week?
its easy to see conspiracy when things dont make sense but i suggest you stay away from the stock for now. more analyst are gonna downgrade based on latest ceo comments and suit dropped. many pro want to see the stock get to 400. there is no catalysts to move it up and now all the guys expecting a prefered are gonna bail (Ino prefered is good imo but short term speculators will get out.)
the stock will be down 50% from highs before its all said and done. I myself got out way too late at $535. I should of see this coming at 620 on technicals. I learned not to stay in front of a freight train
How about explanation #4 ? Samsung is and will continue to eat Apple for lunch with their suite of great product offerings? When Tim Cook said he refuses to create a larger screen iPHone.....I knew that this was the sign to get out. Pride will always kill ya.
Sentiment: Strong Sell
Samsung has become the next big thing because it lies about its numbers and spends massive amounts of money on advertising and goodies for journalists and bloggers. (Google the Samsung Mob!lers program and their bribery scandals.) Once Google and Samsung start feuding all of the anti-Apple people who gravitated toward Samsung will look for something new.
YOU'RE A SMART MAN TODD!!!! AND YOU'RE EXACTLY RIGHT!! COOK IS A MORRRRON AND A FOOL!.....And i said the same thing when he said that!! the fact that the stock freefalls every time the idiot opens his mouth is telling enough
There is one other possibility for the large drop today. Einehorn has thrown in the towel and is selling all his million plus shares to get out of a company that calls him silly for trying to increase shareholder value.
Fabulous post... Options 1&2 assume a strategy..... But the more I replay Tim Cook's interview on NBC, where his focus was on shinny edges on the macs, and his favorite things to do are workout and take walks in nature.... He is a loner...... Not a leader...... Nothing inspirational about his presence. And his recent exposure shows he is getting frustrated, and angry, it is not appropriate for a Duke MBA to use words like Stuff and #$%$ to describe technical products.
Back to the interview, he got snookered, and Brian Williams marginalized him. His response of don't bet against Apple....... Will go down in history in the same category of Read my lips .... No new taxes.