Do you understand what that means? The reason for the drop is a drop in retained earnings, which relates to their dividend. Apple is loaded with investable cash so, a drop in what they don't use to pay dividends or debt is of no substance to Apple's balance sheet whatsoever.
For a company this size Apple's balance sheet in every aspect is a dream come true. They have rouhly 177B in invested capital which has added roughly 470B in market value.
You are not understanding what you are reading, this isn't a reason to sell the stock, it is a reason to buy and hold it.
If you sold this morning, you should be legally obligated to buy Certificates of Deposit the rest of your life. Apple's FCF is so absurdly high any fool that sold at the prices you saw this morning has the aptitude of a toad.
Oh? At one point, Motorola was worth more than Apple and its trailing earnings and "PE" were better as well. It eventually was purchased by Google for $300M.
When you want to "educate" people, make sure you have a clue what you are talking about first so you don't look so uttlerly ignorant when you click Post.
That's the equivalent of saying a car that weighs 1000 lbs is worth the same as every other car that weighs 1000 lbs simply because they both weigh 1000 lbs.
You have no idea what you are doing kenji. You are absolutely clueless. Comparing a company to the human body...good lord I think I have heard it all now
Oh yes, when the sky turns orange and pigs fly planes to Mars "It's gonna end bad for longs in Amazon..."
Hey I have a riddle for you genius... If there aren't any earnings now what is "supporting" it now?
The fact you think 'earnings' are how you properly value a company tells me you have no idea what you are doing.
You think the collective knowledge of all the Amazon employees has no value whatsoever? What do you think other corporations would pay to bring those people on-board their own companies? Do you think 'earnings' decipher what the top technology engineer at Amazon is worth in value? What about 4,000 engineers? 5000?
You'd think you fools who consistently crow "earnings, earnings earnings" would learn something as simple as what i just highlighted. But you don't...you are too ignorant in your own grandiose perceptions of yourselves to realize you have no idea what you are doing.
Enjoy your 'earnings' focus...amateur
I guess all those collective minds at Amazon are pretty much worthless to you...because it is all about this magical "PE Ratio"?
Let me give you some advice amateur, if you don't know how to conduct basic financial valuations other than the average third grade level you should probably stop throwing your money around like it grows on trees.
Not just the 125s... Now with the guaranteed dividend you can buy the stock cheaper which guarantee's the return is higher. Simpletons are selling the stock
keep selling your stock folks...those buying are getting a much bigger bang for their buck here with the guaranteed dividend in a early August then they will be when it is back to 130+
It's like free money