Apple’s Stock Has a $35-Billion Bad Day

[SKYMTL]

Apple’s stock dropped by 6.4 percent Wednesday to $538.79 — the highest drop since the height of the great recession in 2008 — erasing nearly $35-billion from the company’s market value.

While the stock’s price only took a $37 tumble, Wednesday’s market cap loss is more than the entire market cap of Hewlett Packard or Dell.

Read more here: Apple’s Stock Has a $35-Billion Bad Day | Hardware Canucks

[great_big_abyss]

[Birk]

Oh No! the poor isheeple

[Squeetard]

What a load of bullshit. This is exactly what is wrong with our economy. The friggin stock market. What occured yesterday to cause this drop of $100 for every man woman and child living in America? Nothing.

[sf101]

yup. just.. BAM loose billions of dollars because the air was a little thick that morning.

[BeaverBender]

This happens fairly often in the stock market throughout history. We (tech people) just don't normally notice unless the headline has Apple or Microsoft in it though. When oil prices are swinging around for example, a drop like this can happen to Exxon fairly regualrly, as can the inevitable swing back up.

[SugarJ]

And no one actually loses billions, least of all Apple. It's a change in market capitalization, i.e. how much you would pay if you bought every single stock in a company at the current price.

Now, if I'd bought $1 billion worth of shares at $595 last week, and sold them at the low of $518.63 this morning, I would have lost $130 million. If I'd waited until 1:00, they were trading at $553 and I'd only have lost $71 million. However, I didn't so I didn't actually lose any money, and neither did Apple. They don't own the shares, the public does.

[G777]

If you had used apple stock to leverage other investments you could have a problem if it doesn't bounce back quickly.

[SugarJ]

You mean like the 5.5% bounce from the low this morning?

However, I will agree with you. If you had used it to leverage other investments, you'd probably be pretty worried right now. It's still off over 6% since last week. We'll see what tomorrow brings.

[G777]

Originally Posted by SugarJ

You mean like the 5.5% bounce from the low this morning?

However, I will agree with you. If you had used it to leverage other investments, you'd probably be pretty worried right now. It's still off over 6% since last week. We'll see what tomorrow brings.

Yeah, lol. I should have worded it differently.. I meant in general large dips in stock value can have that effect.