The Mac Observer

Skip navigational links

You're viewing an article in TMO's historic archive vault. Here, we've preserved the comments and how the site looked along with the article. Use this link to view the article on our current site:
Bogus iPhone Cutback Claims Hurt Investors

Bogus iPhone Cutback Claims Hurt Investors

by , 11:20 AM EDT, August 1st, 2007

After rumors that Apple was scaling back production of the iPhone surfaced on Tuesday, the company's stock took a sharp nose dive and dropped about US$9. Unfortunately for investor pocketbooks, that rumor turned out to be unfounded, according to CNBC.

TheStreet.com cited a report from the analyst firm Miller Tabak & Co., but now the company has stated that it issued no such news. Peter Boockvar, a trader at the firm, commented "We weren't issuing any kind of report. We don't have an Apple analyst."

Despite the inability to confirm that the rumor was false, investors took it as fact, driving Apple's stock down and cutting $8 billion off the company's market cap.

Apple faced a similar situation earlier this year when a rumor surfaced that the company was delaying the iPhone launch for an additional six months. That rumor also turned out to be false, but the company's stock dropped several points before the information was corrected.

The Mac and iPod maker's stock still hasn't recovered from yesterday's shakeup. Apple is currently trading at $129.85, down 1.91 (1.45%).


If you are interested in Apple's stock, join our forum members in the Apple Finance Boards, a moderated forum for Apple Investors and people who are interested in Apple's financial dealings. For other stories regarding Apple's stock activity, visit our updated Apple Stock Watch Special Report.

  

Recent Headlines - Updated July 24th

Mon,12:40 PM
Three Ways to Protect your Apple Watch (and One Way Not To)
Mon,10:42 PM
Google Brings Higher Resolution Satellite Imagery to Google Earth and Maps
9:10 PM
Google Bloks Will Offer Kids Hands-On, Collaborative Programming Concepts
8:44 PM
PRE-SALE: The Complete iOS 10 Developer Course at $29
5:15 PM
Game Foul: Ford Dealership Steals Firewatch Art
5:04 PM
TMO Background Mode: Interview With Symply Co-founder and President Alex Grossman
3:20 PM
iPhone 7 Sans Headphone Jack: The Debate Continues
1:58 PM
TMO Daily Observations 2016-06-27: AAPL, Brexit, Google Blocks
11:58 AM
Google Ready to Try Apple’s Tactics with New Smartphone
9:33 AM
Apple gets its Rainbow on for SF Pride Parade
Sun,12:18 PM
MGG 611: Troubleshoot & Resolve Your Mac & Apple Issues
Fri,7:00 PM
Apple Kills the Thunderbolt Display - Will the Mac Pro Be Next?
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!