Apple Stock Falls to the Lowest It's Been Since February of 2012
As Apple recently released the iPhone 5 in China, it was predicted that things should be going well for the Cupertino California company on Wall Street but that isn’t how things ended up. According to initial reports, the debut of the iPhone 5 has been somewhat slow due to a snowstorm hitting Beijing and a pre-order requirement to prevent rioting. Adding to the issues that Apple has to deal with, the company’s stock also ended up hitting a 10-month low today and is currently trading at $509.79, a value that has been the lowest since February.
Due the stock price of the company falling, UBS analyst Steve Milunovich ended up reducing his target estimates for the stock down to $700 from $780. Despite the recent chain of events many analysts continue to think that AAPL is a good stock to buy, with caution. Another thing that continues to hurt Apple stock is research from analyst Peter Misek from Jefferies, which points toward the Cupertino California company’s supply chain and the iPhone component suppliers involved seeing larger order cuts over the last 24-48 hours due to assembly execution issues. Misek is claiming that demand isn’t an issue for the iPhone 5 as much as the fact that inventory is still limited at retail locations, simply because Apple can’t make iPhone 5s fast enough to meet some analysts’ shipment expectations for Q1. We’ll have to see how Apple handles the situation and attempts to turn things around.
via Cult of Mac