AAPL hammered yesterday on iPhone production rumors

Tuesday was a rough day for Apple investors, as shares dropped precipitously from post-earnings-report highs of $148 a share down into the low $130s. Most of the credit/blame for the selloff is being attributed to a rumor floated among traders and on a posting at TheStreet.com that Apple was cutting back iPhone production by 50% off the company's original plans.

Most of the potential sources later disavowed the information. Considering that there has never been an official production target other than the "10 million phones by 2008" number (note also that a production cut was not discussed during the earnings call), longtime Apple stock watchers on the Mac Observer forums characterized the bear run on AAPL as a "deliberate hit," executed by unscrupulous persons who have positioned themselves to take advantage of the drop in value to shore up their holdings.

Remember, AAPL investors, it's a marathon, not a sprint.

via Apple 2.0 and BloggingStocks

Disclaimer: I hold a position in AAPL.

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Source: http://aapl.bloggingstocks.com/

Tuesday was a rough day for Apple investors, as shares dropped precipitously from post-earnings-report highs of $148 a share down into the...

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ToupsWinker

http://www.threatdowngenerator.com/generated/67087ba96165d2eee7f5d4daffce3eb6.jpg

August 01 2007 at 6:45 PM Report abuse Permalink rate up rate down Reply

Todd

The bear pictures is hilarious. And yes, the iPhone is a marathon - wtf is up with wall street on this, or is it just that so much attention is on them right now?

August 01 2007 at 4:39 PM Report abuse Permalink rate up rate down Reply

Kimo

Analysts are never in it to help the everyday investor. They have ties elsewhere from which they get their cues (imo).

Because of that......do the opposite..... when sell signals are given (like now)....you buy..... When nothing but good is said about the stock, take a bit off the table.

It's all a big game and profit is the goal.

August 01 2007 at 3:32 PM Report abuse Permalink rate up rate down Reply

ToupsWinker

A Bear! Is this a Threat Down?

August 01 2007 at 2:40 PM Report abuse Permalink rate up rate down Reply

nod

Yes, the SEC should definitely look into this.

August 01 2007 at 2:02 PM Report abuse Permalink rate up rate down Reply

aron t

Yes, definitely unscrupulous... Somebody badly wanted AAPL to go down so they could buy in before the rumors were squashed and it went back up. I'm sorry the iPhone made AAPL rise so highly, but it's not my fault the hype was true and you lost out.

August 01 2007 at 1:53 PM Report abuse Permalink rate up rate down Reply

Paul

A "deliberate hit"??

Isn't that the kind of thing the SEC should be looking into?? Last time I checked, deliberately manipulating the market with false information was illegal.

Then again, with guys like Jim "It's a fun game"[1] Cramer running the show, who knows?

I think I'm gonna start keeping my money under the mattress.

[1] http://legalpad.blogs.fortune.com/tag/stock-manipulation/

August 01 2007 at 1:51 PM Report abuse Permalink rate up rate down Reply

aron t

August 01 2007 at 1:34 PM Report abuse Permalink rate up rate down Reply

Charles S.

Bear market - Bull market.

Isn't it 10 million by the end of 2008?

August 01 2007 at 1:15 PM Report abuse Permalink rate up rate down Reply

cameron

What's with the picture of the bear?

August 01 2007 at 1:11 PM Report abuse Permalink rate up rate down Reply