In other words, AAPL has lost last 7 weeks of gains. I don't know that much about investing, but, even though the drop from $190 to $153 is quite high, it still only accounts for only seven weeks. To put it in a different way, anyone who has been holding AAPL for anything but extremely short period of time (under two months) is still ahead (and quite solidly that).

It is very possible that AAPL would reach a new low in the coming few days. More than likely, though, it will turn around (with the rest of the markets) and resume its stratospheric flight, considering its stellar growth.

I was one that HAS bought in the last 2 months, and it's not a pretty picture!

AAPL is once again in one of those, firing on all cylinders modes. This will be shown in the quarterly earnings report. There is not allot of news except for iPhone launches that are being ignored. I have invested in AAPL for over 10 years and now is one of those times that Wall Street has problems setting values with the business. But there may be more losses so look for an entry point . Expect Mac sales to be huge above expectations, iPhone sales to be beyond expectations, Leopard sales to be well over predictions, and iPod sales to be good. Before Leopard AAPL was limping along at $180+, so now we can also add Leopard sales and Mac upgrades helped by Leopard. The quarter is looking good. If mini-Mac rumors are true then again another market is opened all things are looking good. Also the ability to scale OSX as the operating system for all devices is key, as soon as the iPod gets an OSX upgrade that will again cut development costs and improve app support for all devices from servers to iPods. Neat trick!

Right now the fate of AAPL is not being determined by the company's performance, which is obviously outstanding, but rather by the overall market sentiment. These things happen, and sometimes they can go on for a long time.
But there's nothing wrong with the underlying company. And so the thing to *not* do is panic out of it. If you like the long-term prospects you just have to take the pain. It comes with the territory.
Another thing not to do is to try to catch the falling knife. In other words, don't be a hero and step up as a buyer, thinking "it can't possibly go lower." It can. There's no need to try to catch the absolute bottom. Wait for things to stabilize and for the overall sentiment to turn. Once that happens the fundamentals matter again and the stock will recover. At *that* point you can add to your position and make some money. Yes, you'll be buying above the bottom, but nobody yet knows what that bottom will be.

Be smart and don't panic. There is still a lot of money to be made.

[spam/trolling expunged]

AAPL's P/E is still close to 40 after today's slide. Forward P/E is north of 30. It pays no dividend. It's been going up and up on speculation anticipating a strong quarter with the iPhone, iPod Touch, and Leopard. While nobody is saying it out loud yet, the whisperers are wondering about Christmas spending and that raises huge concerns with Apple because the iPod Touch isn't a low budget gift. The iPhone may not be quite the phenomenon outside the United States as it is inside. And Google's Android platform has come on the scene quickly with strong industry support.

Look for AAPL's P/E to slide down to 30-33 before this quarter's results are in. That will still be a premium price, just not so premium as it is now.

P.S. Fake Steve Ballmer is an unfunny ass.

[spam/trolling expunged]

Quote

Steve Ballmer wrote:
spam/trolling expunged

Why don't you try typing with both hands for a change? The only possible explanation for your non-funny, asinine, stupid, childish--no, on second thought, no child I know behaves with your level of stupidity and immaturity--behavior is that you get off on it.

Quote

Bosco wrote:
...While nobody is saying it out loud yet, the whisperers are wondering about Christmas spending and that raises huge concerns with Apple because the iPod Touch isn't a low budget gift. ...

The retailers are already concerned about this year's Christmas buying season. Fuel costs are going up and it is expected that gasoline will be Ñž20 higher by Thanksgiving. The cost of delivering goods will be passed on to consumers. Heating oil and natural gas prices are also rising. So if it comes down to food on the table in a warm house or a new gadget then basic necessities win out.

Not to mention that credit is harder to get / house prices are flattening, making people less gung-ho about spending money they don't have, because it will be offset by 2 months rise in property value.

On the other hand, I met a guy on Friday who was buying an iPod touch for both his kids (one was 9) and dare I say that Apple's core customers are less price sensitive - i.e. they were never people who would be deciding between heating bills and food on the table in the first place - they are people who have a higher disposable income in the first place. But they are vulnerable to redundancy in an economic downturn

Is this the dreaded dead cat bounce? Apple is up $12. No it is based on the same old news (iPhone - China) and the markets rising. Apparently entry point could have been yesterday. Hey unfortunately, like the ride? It will be OK, get used to it. The roller coaster ride is thrown in for free. That is just the high P/E ride. At high P/Es the market is figured (more so) into the price, the good news is that the fundamentals of AAPL business are all still there, and kicken' like a chicken.