Skip to main content

Apple shares fall despite record profits

Apple shipped some 1.6 million Mac computers last quarter

Shares of Apple Inc. dropped by 5.9 per cent today despite its record profit posting yesteday. It was the biggest drop in almost a year.

Poor shipments of Apple Mac computers disappointing investors was cited as the reason behind the drop in shares. Apple's conservative forecast for the coming quarter was also a reason, as it missed analysts' estimates, according to .

Apple said in its first quarter earnings report that it had shipped some 1.6 million Mac computers, an increase of 28 per cent compared to the same period the previous year.

However, this figure was less than the 1.75 million anticipated by Wall Street analysts, thus making Apple's share price fall by 5.9 per cent, according to Gene Munster, an analyst at Piper Jaffray & Co .

Investors chose to focus on Mac sales rather than the record $1 billion in profits , or the 50 per cent increase of Apple iPod sales.

Apple predicted that sales for the current quarter would be up to $4.9 billion, a conservative estimate compared with the $5.23 billion forecasted by analysts, Bloomberg stated.