Apple gets pounded on disappointing iPhone sales

IPhone to expensive

Looks like the media misrepresented Apple talking about long lines nite long for the Iphone.

The iPhone introduction is definitely adding uncertainty to this quarter's results. So much so that expectations appear to be swinging widely.
For further consideration click here:
http://sneakybusiness.typepad.com/sneaky/2007/07/apple-earnings-.html

TB,
Apple was set up for disappointment by all the euphoria...

I do not agree that a 3% drop is "getting pounded" given the runnup this year...

However, I also disagree with those that think AAPL will be $200 in 12 months. Anything over a P/E of 30 is inflated after the recents years of hyper growth.

Sheldon, neither do I, the headline was changed on me. I've been in apple since $90, when I was encouraged to get out of it by various experts because it wasn't going to go over $100, they said. I'm very happy with $140, my retirement portfolio is also happy. I did expect the stock to retreat after the day of the iPhone release, every major release has been marked a 'failure' by the press after the week of stories before it hyping it. I did lose some money by getting out after the iPhone launch for my standard 1 week post-Apple release and then buyback strategy. Oh well, I'm still pleased. I used this 5% dip to add to my position :-)

The figure given isn't for sales, it's the number of iPhones *activated* in the first two days. It doesn't included, for example, any units that were bought as gifts, or any phones like mine, which were activated three days later when T-Mobile finally released my number.

The real story is in Apple's earnings report tomorrow.

-jcr

Tobias, get you facts strait! Your subject/article is completely false. It's not the iPhone sales that were reported Tuesday, that comes tomorrow on Wednesday. You are confusing AT&T's report on the number of activations of the iPhone. MANY MANY MANY more iPhones were sold then actually activated. People are selling them on eBay and putting them in blenders (do a google search for blender and iPhone if you don't believe me.)

The drop in price today was a blip. Several investors selling and taking their profits before the release of earnings tomorrow. I bought more today on the drop in price. I think all shareholders will be very pleased with the results tomorrow. Apple is much more than just the inventor of iPhone. They are the company of the future with many innovations in the pipeline.

Terry, I agree with you 100%. It is not fair to judge iphone based on only 30 hours of sale. I bought 5 iphones and without a doubt, it is a wonderful product. I am proud of Apple, Inc., an American innovator, who did a great job by offering such a product to the world.

Hmmm. 146K activations probably translates into 500K plus sales - well above the 200k expected.

Consider:
1) The 40% of switchers that didn't get activated.
2) iPhones bought for resale or gifts that didn't get activated.
3) iPhones that didn't get activated right away due to the activation problems.
4) iPhones purchased online at the Apple store.
5) iPhones that didn't get activated right away simply because "life" happened.

Sometimes I just wonder if folks out there are that dumb.

Dont forget most people had existing phones already and maybe have a month or more till their plans run out. Why activate and pay for two plans ? The activation numbers based on 2 days is ridiculous. Many others needed a few days to have time it was mid to end of week if i am remembering right and many might have waited til the following week or had the problem activating, not to mention what others have said about being gifts or for resale. lighten up Francis