October 20, 2011
Did Al Gore contribute to a $20 billion loss in Apple capitalization?
Apple shares fell about 5% on the opening of trading this morning on news that 3rd quarter earnings did not meet expectations. With a market capitalization of over $370 billion , a 5% loss represents almost $20 billion. Apple's fourth quarter ended September 24th. Despite incredible sales of 17 million iPhones during that period, representing a 21% increase over the same period a year earlier, this was less than the 20 million projected. On September 21st, Al Gore was reported to have let the cat out of the bag by confirming rumors that a new iPhone would be released in October. Did Gore's premature announcement contribute to any potential iPhone customers not making a purchase that they otherwise would have? Al Gore is an Apple board member and, as such, any public pronouncement he makes holds much more weight than rumors circulating on the internet. Confidentiality of board proceedings is a sacred trust. A financial quarter represents 1/4th of a...(Read Full Post)