Apple Inc. (NASDAQ:AAPL) stock is just not impressing investors. On Wednesday September 9, the stock closed down 1.9% to $110.15 as the firm unveiled the new iPhone, new iPad, set-top box and a $99 pencil.
Investors not excited
Yesterday’s drop was the biggest one-day drop for Apple on the iPhone announcement day since the iPhone 5C and 5S in 2013, when the stock lost 2.3%, says a report from USA Today. It’s a big disappointment for Apple fans that even the new products from the firm failed to get investors’ confidence. The stock didn’t show any excitement even ahead of the event.
Usually, it is seen that Apple Inc. (NASDAQ:AAPL) stock gains about 5% 30 days before an iPhone event, in contrast, this time the stock lost 6.2%. This lead many to think that the stock will show some upside on the announcement day, but such was not the case. However, such drop in the stock is not specific to this iPhone event. Except for the original iPhone, the stock on an average have lost 0.8% on the day a new iPhone has been announced.
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Such a performance from the stock ahead and on the day of announcement have surprised Apple investors, who are used to be always on the green side. Apple shares are down 17% from record high, putting them in a correction phase, and on edge of entering a bear market. Year to date, the stock is down over 2% while, in the last one-year, they are up over 11%.
Apple missed something
Wednesday’s event, though it was an iPhone event, the stage was shared by the iPad Pro and a new Apple TV equally. Apple, which has been known for innovation, has lately been criticized for the lack of new breakthroughs. Following the event, the web was filled with comments that the new iPad has borrowed features from Microsoft’s Surface tablets that comes with a keyboard and stylus. Even Apple TV’s gaming features appears quite similar to that of Nintendo’s Wii.
Tim Arcuri of Cowen and Co. sees the event as a ho-hum affair as Apple though did unveiled new products, failed to give any surprises. Arcuri noted that Apple Pay is the best way for the firm to “leverage the installed base and drive more HARDWARE sales of current and future form factors.” But to his dismay, Tim Cook and the team ignored the only service, which is a real differentiator for Apple Inc. (NASDAQ:AAPL) presently.