Apple’s stock prices have been dropping, from last month’s all-time high for the company which started in August, closing yesterday at $635.85. This is below the milestone of $664.74, which made Apple the most valuable public company ever, and far below the $$705.07 peak that the company saw when the iPhone 5 was launched.
Market analysts attribute the decline to several factors but they are also not terribly worried about the lack of upward movement in Cupertino’s stock. The drop in stock price has been blamed on Apple’s first weekend performance for the iPhone 5, which sold 5 million units. The number, while impressive, was below expectations and there are fears that Apple will be unable to sustain inventory numbers for the iPhone 5 over the festive season. The problems with workers at Foxconn have not helped matters either.
But analysts are expecting a resurgence from Apple’s corner. Shaw Wu from brokerage firm Sterne Agee has said “We believe concerns are overdone and this appears to be a typical consolidation after a big run. From our supply chain checks, demand remains robust with improving production and the bottleneck moving to assembly of the iPhone 5 itself vs. component constraints. In addition, we are picking up much increased component activity with what appears to be for an iPad mini.”
Source: AllThingsD
