Today we take a look at the recent concerns in the Apple (AAPL) camp. Apple has been a significant market player for a number of years now. A good portion of the success of the company can be directly linked to one man...Steve Jobs. Mr. Jobs has been the the key to Apple's success in the past, the present and possibly the future.
Back in 2004 Mr. Jobs had a tumor removed from his pancreas, and his health has been a concern among investors ever since. Recently, when Mr. Jobs appeared at a June conference to show off the new iPhone 3G, many felt he appeared a little too thin. This has driven rumors and speculation that his previous health issues may have returned.
Apple did not help the situation any when, during this weeks earning conference call, they were unwilling to discuss Mr. Jobs health. This put some fear into investors and AAPL shares experienced a sell off. After calm reflection, and a review of the record 3rd quarter sales, the stock recovered.
We wish Mr. Jobs the best of health and hope all is well with his future. As an investor/trader, however, it is good to keep in mind that when a company has a dynamic and effective CEO at the helm, and the companies culture is built around the CEO, the loss of that CEO can have an enormous impact on the companies future.
Today AAPL closed at 159.03. It is in a downtrend and is trading below its 10, 20, 50 and 200 day moving averages. The chart technicals do not seem to indicate it has yet reached an oversold condition.
Thursday, July 24, 2008
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