Apple Shares Declining After iPhone 5 Sales Fall Short of Expectations
Shares of Apple Inc. (NASDAQ:AAPL) are going down in mid-day trading session on Monday after the company announced that it sold over 5 million units of iPhone 5 during the first week, numbers which fell short of analysts estimates.
The iPhone 5 went on sale last Friday in United States as well as eight other countries. Analysts were anticipating that Apple would sell 6 million to 8 million units of iPhone 5 during the opening week; however the sales fell short of the analysts’ predictions. In 2011, Apple sold more than 4 million units of its previous model iPhone 4S during the first week, which was initially introduced in seven countries.
Ana analyst surveyed by Sterne Agee, Shaw Wu said that iPhone 5 sales fell short of expectations because of high predictions without any reality. He said that it doesn’t matter that how many units are sold in initial few days but the thing which matter is that how well this product will do during the next 2-4 quarters.
Apple Inc. (NASDAQ:AAPL) stock in current session held volume of 18.15 million shares as compare to its average volume of 14.87 million shares. The stock after opening at $686.86 hit high price of $695.12 and then trading at $689.56 by scoring -1.52%.
As the revenue measures AAPL generated revenue of 148.81 billion in the following twelve months income of $40.13 billion. The Company showed a positive +26.97% in the net profit margin and in addition to in its operating margin which remained +35.62%. Company’s annual sales growth for the past five year was +41.16%.
The stock showed weekly upbeat performance of +1.27% which was maintained for the month at +4.67%. Likewise the positive performance for the quarter was recorded as +20.79% and for the year was +74.98% while the YTD performance remained at +73.60%.
The AAPL past twelve months price to sales ratio was 4.41 and price to cash ratio remained 23.73. As far as the returns are concern, the AAPL return on equity was recorded as +44.32% and increased +38.27% return on investment while its return on asset stayed at +29.77%.