Despite Apple returning to growth for the first time in a year, AAPL stock opened almost 8 percent down, as iPhone sales fell below analyst predictions and Apple’s mid-point guidance on Q2 earnings forecast was for zero growth.
Analysts had predicted 55.3M iPhone sales, while Apple reported sales of 51M. Analysts were also disappointed in Apple’s guidance for Q2 of $42-44B, as the mid-point of $43B would not show any growth over the same quarter last year …
At the time of writing, AAPL was trading at $508.08, over $40 down on yesterday.
As is often the case with AAPL stock dives, the market is responding to the gap between expectations and reality rather than the numbers themselves. The actual numbers showed record quarterly revenue growth, increased earnings per share and all-time quarterly highs for both iPhones and iPads. Clearly, Apple is doomed.