Type of Article: MacTech Blog

Apple’s stock dip is indeed a ‘knee jerk’ reaction

On Tuesday Apple reported selling a record number of Macs and iPads. However, the company’s stock dropped because Apple “only” sold 17 million iPhones, less than the 20-22 million units Wall Street pundits had predicted.

Does that make sense? Of course not. And let’s be clear: iPhone sales were up 21% year-over-year. Despite this, Apple’s stock fell more than US$28, or almost 7%. Brian Marshall, an analyst with the International Strategy and Investment Group was correct when he called this a “knee jerk” reaction.”

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