Apple Sees Profit Decline
For the first time in about a decade, Apple saw a decline in earnings. In the aftermath of this announcement, Apple dropped 3.0 percent almost immediately in afterhours trading. Once the new trading day officially began, the actual decline that Apple saw was a bit less—just 2.25 percent. Many analysts are extremely troubled by the fact that Apple saw this decline, but although it makes for great news stories, Apple’s drop should be seen not as a major failure, but rather as an opportunity for you to position yourself to create a profit.
There are a few ways to do this, but we will take a very general look at it. First, the panic of the news that Apple saw a decline was what led to the majority of its drop in price. Apple fell from $118 and change to a closing price of $115.59 on Wednesday, October 26th. (more…)