Today on Varney & Co. we talked about the "golden child" of the tech world - Apple. The company's stock tumbled 23% after hitting its record high just months ago. From the initial iPod to the iPhone; iTunes to Apple TV - the company held good stake in all things electronic...until now. Its latest release of the iPad mini was a thinly veiled effort to combat the Kindle Fire and the Google Tablet. Consumers balked at the higher price. Just last week, Samsung Galaxy S III dethroned the iPhone as the world's top seller. 18 million Samsung Galaxy S IIIs were shipped compared to 16.2 million iPhone 4s's in the third quarter.
Has the death of Steve Jobs signaled the end of the Apple era? The company has not released anything truly innovative since Tim Cook took the reins- just extensions and tweaks to proven products. Apple rocked the tech world with the introduction of the touch screen iPod and had millions watching when we first said "hello" to the iPhone. Its latest creation, though, the iPad mini, is just a smaller iPad (or a larger iPhone.) The company released an iPhone 5, thinner, longer, and faster, but really similar to the iPhone 4.
Several other factors could come into play when trying to find the reason that the stock continues to fall. Scott Forstall, the senior vice president of iOS Software at Apple Inc, and John Browett, Apple's senior vice president of retail, left the company at the end of October. Then there was the problem of not being able to fulfill all of the demand for the iPhone 5 - which we reported on.
Gil Morales from virtueofselfishinvesting.com said today on Varney & Co. that he thinks the "Apple stock has topped and it's probably going lower longer term." Everyone has been keeping an eye on Apple stock and it continues to disappoint. Can Apple reinvent itself again and change the way we do everything electronic or will the downward spiral of the stock sink this ship?
Varney & Co. with Stuart Varney gives you the 411 on today’s Wall Street news and how it impacts you.