Path: utzoo!utgpu!news-server.csri.toronto.edu!rpi!think.com!sdd.hp.com!cs.utexas.edu!asuvax!ukma!psuvax1!rutgers!cunixf.cc.columbia.edu!cunixa.cc.columbia.edu!nkb From: nkb@cunixa.cc.columbia.edu (Norman K Bucknor) Newsgroups: comp.sys.mac.system Subject: Re: * What's the deal with Apple's stock???? Message-ID: <1991May25.075908.26083@cunixf.cc.columbia.edu> Date: 25 May 91 07:59:08 GMT References: <1991May23.011719.16067@ncsa.uiuc.edu> <1991May23.045710.3521@njitgw.njit.edu> Sender: usenet@cunixf.cc.columbia.edu (The Network News) Reply-To: nkb@cunixa.cc.columbia.edu (Norman K Bucknor) Organization: Columbia University Lines: 16 Nntp-Posting-Host: cunixa.cc.columbia.edu The primary reason for the stock fall was the Apple announcement that profits would be down slightly or remain the same even though there was an 85% increase in sales for this past quarter (compared to last year). Most people obviously felt that an almost doubling in sales volume should have perked up the profits to a greater degree and the news was perceived as bad (even though the drop in profits wasn't more than a few percentage points from the same quarter last year. Apparently, too much of the sales increase consisted of low margin Macs (primarily Classics). This also precipitated the latest round of layoffs (maybe Sculley should take a million or two out of his paycheck to help out the ol' bottom line :> ). Norman