Apple Shares Tumble After-Hours on Disappointing Q2 Forecast [Update]

In after-hours trading on Wednesday, Apple shares had dropped to US$78.29, down 5.09% or $4.20, as of 4:40 PM EST, despite reporting record financial numbers for the previous quarter. Appleis stock historically drops after earnings announcements, whether theyire good or bad. In this case, however, the markets reacted negatively to Appleis Q2 guidance, which was lower than consensus estimates.

The Wall Street Journal reported that Thomson Financialis estimate going into todayis earnings announcement from Apple was for Q2 revenue of $4.63 billion and 48 cents per share in earnings. Apple offered guidance Wednesday of $4.3 billion in revenue and 38 cents per share in earnings.

Amid broader NASDAQ weakness, the companyis stock closed Wednesday at $82.49, down $2.22 (-2.62%). After hours trading did see a slight recovery up to the $80 per share range after the initial downturn.

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