Friday, December 14, 2012

Somebody Always Knows More than You- Apple Edition

Remember when I stated that the downdraft in Apple's shares, which was attributed at the time to changes in margin requirements- is likely due to somebody knowing something..... well we are starting to see a peek at that possible something.....

First, we had Street analysts cutting their price targets due what they saw as weakness in the supply chain. For instance here and here.

Then we had reports from earlier today stating that the Chinese launch of the iPhone5 has been hitting with a thud.

Now we have word that Apple will sell the iPhone5 in Wal-Marts at a steep discount.

So this calls into question shipment volume, pricing, and margins. Never sell yourself short, but listen to what the market and the price/volume dynamics are telling you. Someone always knows more.

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