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Comment by immad | Hacker News Reader

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immad·

Apple Stock is up 34% in the last year [1].

Its only over the last 2 months that it is very slightly down or flat.

Seems like iPhone 8/X was already priced in the stock and its going mostly as expected.

[1] https://www.google.com/search?q=apple+stock

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The story is about a near-instantaneous ~23 billion dollar drop in the market cap of Apple after reports of production slow-downs; at least that's the story several analysts are telling. Your comment is very insightful and puts this drop into perspective (i.e. it's not that big of a drop), but the reality is some major investors clearly found the news unexpected.

For those major investors, however, is $23 billion even a significant number? Or is it just a blip on their radar, a routine adjustment their automated trading systems which were ingesting the various production information feeds acted on? I'm always curious about things like this. $23 billion sounds like a lot of money, but in the case of Apple, wouldn't it just be 'artificial' money? Would anyone outside of the financial services sector be affected in the slightest? Apple employee compensation certainly isn't related in any way, shape, or form to the value they're creating, probably not even the C-level executives have any relationship to that any longer because the numbers are simply "too big".

The only thing I can think of is the uncertainty of the iPhone X launch meeting targets. But from what I have heard and from my own experience the X is going to sell out or have really good sales on launch day. I am holding off on a new phone if I will get one at all until the X comes out.

$23 billion sounds big, but it’s less than 3%, and assigning a cause to any stock market movement is fraught with peril.

Stocks are oscillatory by nature! At least some people understand this caveat. Not to mention the X comes out soon, and it'll probably rocket again.

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