Apple (AAPL) is down on weak revenue and fewer iPhone sales than expected. Time to sell…or buy? (May 02, 2017)
AAPL
Today I want to look at Apple ( NASDAQ:AAPL ), here is why: This stock has been in a pretty solid uptrend, as I am sure you know if you are watching this video. We look at the weekly chart and you can see a really, really long consolidation here. It is a little bit extended for a consolidation, but nonetheless there it is, it is just the way Apple ( NASDAQ:AAPL ) trades. Right now this last high here was, we will say was 135.00 or so, so you can see what has happened to the stock.
Well here is the deal: The company reported earnings and I am not going to quantify whether they were good or bad, it is not mine to do. Nobody cares, and if you do care you shouldn’t care. I will just say that they missed on revenues, which is kind of a big deal, and they also guided a bit lower now (I am just showing you the intraday after the market stuff). They also raised their dividend, which nobody really cares about, they raised their dividend 10 percent. So great, if you had a 10 cent dividend now it is at 11 percent. Not that big a deal, nobody cares about that, really; they are buying back stock. Apparently nobody cares about that either, really. What this stock has done is, it has reversed the entire move for the month of May, you can see where it closed at.
So what do we do here? I look at this not as a trading buy, but if you are a long-term bull in Apple ( NASDAQ:AAPL ) do not sell your stock tomorrow. I would hang on to it. And if you are looking to buy hope that the stock drifts even lower. Hope that maybe we get some analyst downgrades or lowered price targets or maybe from strong buy to buy or something. You are not going to see one person do a sell because that is not what they do on Wall Street. They want you buying everything that their big clients are selling.
So look at this; any kind of sell-back say to 145.00, even lower, would be a gift for any long-term investor. For a short-term trader, Apple ( NASDAQ:AAPL ) isn’t your deal, look at something like Twilio ( NYSE:TWLO ), which is down huge after market.
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