

Apple stock down 10% after hours - AlexMuir
http://www.google.com/finance?q=NASDAQ%3AAAPL&e

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doe88
An interesting quote of Tim Cook today:

"We aren't interested in revenue for revenue's sake, we could put the Apple
brand on a lot of things and sell a lot more stuff. The most important thing
to us is that our customers love our products, not just buy them but love
them."

I hope that their current market capitalization won't make them modify their
pace and be disturbed by this noise. I hope they won't rush out new products
just for the sake of making Wall Street happy. Keep iterating, keep hard
working on non-public stuffs, there is no hurry.

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adambratt
Biggest reason for this is that Wall Street has noticed the huge cash pile
that Apple is just sitting on. A good chunk of their market cap is made up of
this cash pile that they are reinvesting through their hedge fund.

There's a reason why Amazon keeps going up even though they are barely
profitable. Amazon keeps reinvesting their profits into the company's R&D
rather than throwing it in the bank.

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scarmig
Interesting chance for a HN gut check:

If you were offered $100k of Apple or $100k of Amazon right now, which would
you choose? You would have to receive and hold for 10 years.

To me, the answer to that is obvious (AMZN), but I'm curious if my intuition
matches up with the general opinion.

I'm not sure which would be a better sign.

ETA: Original intent was to talk about 100k in dollars, not in shares.

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X-Istence
I would pick Apple. I have a feeling that in 10 years they will have re-
invented themselves and be making huge profits, and paying dividends on those
shares.

For example, 100k of Apple shares today will net me 265,000 USD. Assume that I
decide to just pocket that money ... I could live off that for a full year,
easy. They pay that every quarter (or at least that's the case at the moment).
I'll make money now, be able to stick it into a savings account or re-invest
it into other stocks.

If you gave me 100k in Amazon i'd be grateful, but keeping it for 10 years
means that in the mean time it is useless to me. No dividends, trading at an
excess that is absolutely insane, it will come crashing down eventually. Apple
at least at that point has cash to continue operations, Amazon doesn't.

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ScottBurson
I think the parent's intent was $100k worth of each, not 100k shares.

~~~
X-Istence
I'd still pick AAPL.

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doctorpangloss
It's crazy they they sell a very conventional, understandable thing, a
globally recognizable product of unlimited magic, that nearly every person of
means in the world has or wants—and yet the market hammers them hard on a 0.7%
miss on expected revenue in a quarter with 8% fewer days than 2012Q1.

Here's what I think they should do: Tim Cook needs to become a narcissistic
billionaire who parrots about polyamory and militant libertarianism. _Now
that's what Silicon Valley is all about._ $$$.

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czhiddy
What's more crazy is that _profits_ (what truly matters) actually beat
expectations.

I could start a business selling $100 bills for $99.99 and report back
enormous revenue numbers. Hell, I could probably match Amazon's losses and
revenues to a T - maybe Wall Street will reward me with a 2000 P/E ratio.

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leoh
I always had the sense that after-hours trading was volatile, often
manipulated, and not indicative of near-term future performance -- are my
assumptions incorrect?

~~~
ttar
Yeah, aftermarket is pretty good indicator of next day opening price.

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fh973
Apple is in the category "growth company" and needs a growth story to justify
its value. When the roof comes in sight, as it does currently, the party is
over.

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uptown
They've essentially refreshed their entire line of products, leaving a wide
open field for 2013.

Makes me wonder what they've got in their pipeline. If it's just spec bumps
and incremental improvements to existing products, they may not have what it
takes to excite. If they have a product or products that enter into new
markets, they could return to the $700 levels we saw before.

What I expect in 2013? What markets are untapped?

1\. Apple TV will be opened up to app developers.

2\. Apple will release a wearable device (wristband, watch, something).

3\. Something with home-automation or smart-home technology.

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gwright
I found the following comment from Tim Cook during the earnings call today
interesting:

> We're working on some incredible stuff. The pipeline is chock full. We feel
> great about what we've got in store.

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jarek
You weren't expecting him to say "yeah, we're just going to do an iPhone
refresh and a retina iPad mini, and maybe refresh the Macbooks, if it's ready
we'll do One More Thing _wink wink_ ", were you?

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seiji
Just to recap: this afternoon two Apple-Fact stories ("Apple releases
earnings") get flagged the hell off the front page.

At the same time, two anti-Apple posts float right to the top.

People sure do resent success.

~~~
jarek
Not to worry, counter-flag brigade has checked in and this item is now not on
first five pages of top stories.

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coditor
Be much more interesting if when an analyst guesses wrong, they get punished
instead.

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jinushaun
Every time something like this happens, I always ask myself: who the hell are
these analysts and why are they picking such crazy unrealistic numbers? A
company can have record revenues and profit and still get punished by the
market because some analysts say they should've made more. If everyone ran
their company for shareholders and analysts, there'd be a lot more Dells and
HPs and less Apples and Googles.

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ttar
Apple should follow Google, give everyone a 10% raise. The stock will then go
up.

