Apple gave forward looking guidance on gross margins that were lower than the market was expecting. At one point the stock was trading down about 18 bucks to 511.00 in after hours. I listened to the conference call and the CFO, I believe, clarified that by announcing there was an estimate of 900 million of deferred revenue associated with software sales. When he said that the stock rebounded in AH and was actually UP about 4 bucks. It down less than a dollar from the regular market close. Executive summary: Apple is sandbagging their GM numbers for next quarter. The stupid money didn't understand this and sold, while the smart money, as always, took advantage of what the stupid money did.
AAPL went down in AHs, then back up to around $537 before heading lower. Hope it goes back up tomorrow. With options this week, it will probably be riding all over the place. What a casino. No matter what AMZN does at earnings, it moves up. Just game playing. GL
unfortunately no dude. i am long nov 8, 16 calls. this sucked. i don't think the stock deserved the AH beating. who knows what forces control this stock. sometimes it seems like nothing can help the stock. wait and see. i am bracing for a PM in deep red. what happens in the day will be anyones guess. like i said wait and see.
Sentiment: Strong Buy
They sandbagged next quarter's gross margin estimate. After the CFO explained that the next quarter contained 900 million of deferred revenue from SW sales that's when the price rebounded to 537 in AH's. That doesn't mean it won't be a roller coaster but that is what triggered the AH selling and subsequent recovery.
Sentiment: Strong Buy
i have been trading apple so long i have seen it before where its down afterhours then end of next trading day its green.. its rare but it has happened before.. I agree i dont think the stock deserved this. Im hoping it goes up... im getting really tired of this .. im thinking about maybe selling at 530... if it ever gets there again this year.. im so discusted at how wall street treats apple.
i just dont really get it.. im not a pumper or a basher here... i just dont get how apple can beat expetations and the stock drop.. they beat the eps estimate. they beat the revenue estimate they sold more iphones then the estimate.. yet the stock drops... i dont get it.