MarketWatch - Stock Market Quotes, Business News, Financial News
Bulletin
Investor Alert

New York Markets Open in:

Futures: /quotes/zigman/43106711/delayed S&P 500 +0.1% /quotes/zigman/48241424/delayed DOW +0.1% /quotes/zigman/43108768/delayed NASDAQ +0.3%

need to know
IRS says identity thieves breached its systems
Pope Francis to stand with Mexican migrants
Disney's ESPN woes undercut 'Star Wars' gain
U.S. stocks end flat as oil continues to slide
SolarCity shares drop on soft forecast
Apple CEO Cook’s deleted Super Bowl tweet
What to expect from Whole Foods earnings

Japan stocks fall to lowest level since 2014
Abe defends Bank of Japan chief

The sad truth of why retirement
is a myth

Burberry sues, says J.C. Penney copied its designs

Is it wise to hold onto cash reserves?

Election year could be painful on Wall Street

S.F. real estate looks like it did before dot-com crash
Every major city in the world, in one map

Americans quitting their jobs hit a nine-year high
NFIB survey hints wage gains are fleeting
Job openings are second highest on record

Recipe for less boring Oscar speeches

What to know before buying Beyoncé tickets

How to get mortgage approved: hope for sunny day

99 Cent Gas May Be on Its Way
99-cents-a-gallon gas may be on its way: 24/7 Wall St.

Is the gold rally the real deal or ‘fool’s gold’?
Teen can keep $20,000 gold bar found in lake
Gold one of Wall Street’s best bets early in 2016
Gold futures stretch win streak to five sessions

Why is everyone freaking out about ‘CoCos’?
Convertible bonds are alluring as stocks fall
 
Deutsche Bank co-CEO says bank is ‘rock solid’
Deutsche may buy back billions in debt: FT
Why the selloff in European banks is ominous

This stock market has been Europe’s best in 2016

Strategists are arguing that stocks need a true purge

A strand of Lennon’s hair is selling for $12,000

White House forecasts best growth in years
Obama proposes $4.1 trillion federal budget

Five questions that Janet Yellen must answer
Yellen may say goal is not to slow the economy
Fed: Too white, too male, too many bankers?
Expansion won’t die of old age: S.F. Fed study

Facebook, Amazon are the keys to tapping this market
French regulator threatens to fine Facebook
India bans Facebook’s free Internet service


Europe’s battles: migrants, ‘Brexit’ and ECB
German output, exports drop in December
Roubini: Welcome to the New Abnormal


This has been the No. 1 car in America for decades
How far can you get on $50 in gas?
/conga/frontpage.html 367536

Markets »

127.74MDow Volume:
Avg Vol: 130.29M
Unchanged
156
Decliners
4273
Advancers
2073
Price Chg %Chg 1 Day
Range: 1 Day
  • 1 Day
  • 5 Days
  • 1 Month
  • 3 Months
  • 6 Months
  • 1 Year
  • 2 Years
Dow
/quotes/zigman/627449/realtime 16,014 -13 0.08%
Nasdaq
/quotes/zigman/12633936/realtime 4,269 -15 0.35%
S&P 500
/quotes/zigman/3870025/realtime 1,852 -1 0.07%
GlobalDow
/quotes/zigman/629063/realtime 2,080 -4 0.22%
Gold
/quotes/zigman/33772884/delayed 1,189 -10 0.82%
Oil
/quotes/zigman/2260836/delayed 28.46 +0.52 1.86%
FTSE 100
/quotes/zigman/3173262/delayed 5,632 -57 1.00%
DAX
/quotes/zigman/2380246/delayed 8,879 -100 1.11%
CAC 40
/quotes/zigman/3173214/delayed 3,998 -69 1.69%
FTSE MIB
/quotes/zigman/1482176/delayed 15,913 -528 3.21%
IBEX 35
/quotes/zigman/2759620/delayed 7,928 -195 2.39%
Stoxx 600
/quotes/zigman/2380150/delayed 309 -5 1.58%
Asia Dow
/quotes/zigman/6959860/realtime 2,452 -19 0.77%
Nikkei 225
/quotes/zigman/5986735/delayed 15,713 -372 2.31%
Hang Seng
/quotes/zigman/2622475/delayed 19,288 +105 0.55%
Shanghai
/quotes/zigman/1859015/delayed 2,763 -18 0.63%
Sensex
/quotes/zigman/1652085/delayed 23,805 -216 0.90%
Singapore
/quotes/zigman/1709939/delayed 2,576 -47 1.80%
Euro
/quotes/zigman/16008136/realtime/sampled 1.13 0.00 0.03%
Yen
/quotes/zigman/16008150/realtime/sampled 114.77 -0.35 0.30%
Pound
/quotes/zigman/16008140/realtime/sampled 1.45 +0.00 0.13%
Australia$
/quotes/zigman/16008115/realtime/sampled 0.71 +0.00 0.34%
DXY Index
/quotes/zigman/1652083/delayed 96.06 +0.01 0.01%
WSJ $ Idx
/quotes/zigman/41508961/realtime 89.15 -0.13 0.14%
U.S. 10yr
/quotes/zigman/15866666/realtime 1.73 +0.01 0.44%
German 10y
/quotes/zigman/15866409/realtime 0.25 +0.01 4.15%
Italy 10yr
/quotes/zigman/15866497/realtime 1.63 -0.06 3.31%
Spain 10yr
/quotes/zigman/15866444/realtime 1.70 -0.09 4.91%
U.K. 10yr
/quotes/zigman/15866328/realtime 1.43 +0.01 0.81%
Japan 10yr
/quotes/zigman/15866525/realtime 0.02 +0.04 192.51%
Crude Oil
/quotes/zigman/2260836/delayed 28 +1 1.86%
Gold
/quotes/zigman/33772884/delayed 1,189 -10 0.82%
Corn
/quotes/zigman/25518691/delayed 361 0 0.00%
DJIA F
/quotes/zigman/48241424/delayed 15,969 +10 0.06%
S&P F
/quotes/zigman/43106711/delayed 1,851 +3 0.15%
Silver
/quotes/zigman/32655632/delayed 15 0 1.45%

Quotes

Symbol Price Change % Change
FB /quotes/zigman/9962609/composite 99.54 -0.21 -0.21%
AAPL /quotes/zigman/68270/composite 94.99 -0.02 -0.02%
GOOG /quotes/zigman/59527964/composite 678.11 -4.63 -0.68%
BAC /quotes/zigman/190927/composite 12.20 -0.07 -0.57%
C /quotes/zigman/5065548/composite 37.51 -0.30 -0.79%
F /quotes/zigman/264304/composite 11.35 -0.24 -2.07%
T /quotes/zigman/398198/composite 36.65 -0.46 -1.24%
BP /quotes/zigman/247026/composite 28.95 -0.97 -3.24%
GE /quotes/zigman/227468/composite 28.28 0.11 0.39%
Visit the quote page and your most recently viewed stocks will automatically be displayed here.
Please log in to view your watchlist
MarketWatch Portfolio

World News from MarketWatch

Rates »

5 yr CD
1.3%
2 yr CD
0.7%
1 yr CD
0.5%
MMA $10K+
0.2%
MMA $50K+
0.4%

National averages from Bankrate.com

You Don’t Need Another Credit Card, You Need A Better One.
Avg. APR Last Week 6 Months
Low Interest 11.96% 11.96% 11.62%
Business 13.12% 13.12% 12.85%
Student 13.42% 13.42% 13.14%
Balance Transfer 14.35% 14.35% 14.12%
Airline 15.17% 15.17% 15.10%
Cash Back 15.26% 15.26% 15.27%
Reward 15.28% 15.28% 15.14%
Instant Approval 18.21% 18.21% 18.00%
Bad Credit 22.88% 22.88% 22.73%
Source:CreditCards.com

SPONSORED SECTIONS

Trending Tickers
  • /quotes/zigman/13139813/composite SCTY-5.69%
  • /quotes/zigman/245568/composite DIS+0.22%
  • /quotes/zigman/93928/composite PSEC-7.39%
  • /quotes/zigman/207002/composite DB-1.03%
  • /quotes/zigman/41663/composite GLD-0.22%
X
Powered by StockTwits
Link to MarketWatch's Slice.

As of July 2, 2013, the SmartMoney content you loved now lives on MarketWatch.

MarketWatch will continue to provide the same important news and information you rely on every day. And, as a MarketWatch user, you will be able to enjoy:

  • Personalized news and quote email alerts
  • Editorial e-newsletters about personal finance, mutual funds and market-specific coverage
  • Premium newsletters by our market experts
  • Games, such as Virtual Stock Exchange and Beat the Darts
  • Free WSJ.com registration

SmartMoney Blogs

Real-Time Advice
Our real-time advice on how market shifts and news impact you and your money

What to Make of Apple’s Plunge

Apple’s stock fell for a fifth consecutive day Monday, losing 4% to close at $580 and change. But shareholders shouldn’t lose sleep.

The tech giant has now dropped nearly 9% since April 9, when it closed at an all-time high of over $636. The move far exceeds the 1% decline during the same stretch for the broad Standard & Poor’s 500-stock index.

Analysts blame Apple’s slide on profit taking and earnings-season angst. But the numbers say neither is a good reason to sell.

Consider Apple’s second-fiscal-quarter earnings report on April 24. Wall Street expects it to earn $9.92 per share, down from the $13.87 earned during its first quarter but sharply higher than the $6.40 it earned in the second quarter a year ago, according to FactSet.

“The iPhone has become Apple’s biggest product, and we’re halfway between the iPhone 4s launch and the iPhone 5 launch,” says Michael Walkley, who covers the stock for Canaccord Genuity. “Investors may be selling the stock because they think iPhone sales for the quarter will underwhelm.”

The iPhone 4s launched in the United States in October 2011. Although Apple hasn’t announced its next model, since the original iPhone’s launch in summer 2007, the company has tended to offer new models every year or so.

History doesn’t favor investors who bet on an earnings-day decline for the stock. Over the past five years, the shares have jumped an average of 3.8% on second-quarter earnings reports, according to FactSet data. Apple topped earnings estimates by an average of 21% during that period.

Nor does the stock’s valuation seem to call for profit-taking. Apple’s stock price doubled since September 2010, but its earnings per share also more than doubled since then. Shares look affordable relative to the company’s income and the broader stock market.

Apple sells for 13 times Wall Street’s forecast for its calendar 2012 earnings per share. That’s on par with the price-to-earnings ratio for the S&P 500, of which Apple is the largest member by stock market value.

Apple holds cash and investments equal to nearly one-fifth of its stock market value. In March the company announced it will begin paying a dividend of $2.65 per share, per quarter, later this year.  That works out to a 1.8% dividend yield, calculated against Monday’s closing share price–and Apple can afford plenty more (see “Why Apple ‘Record’ Dividend Looks Stingy”).

Mr. Walkley sees the stock’s recent decline as a buying opportunity. If there’s trouble brewing, it’s not reflected in earnings estimates. Forecasts for Apple have moved higher in recent weeks, even though those for the broad market have been falling.

Not all investors will want to use the stock’s decline as a buying opportunity. With Apple making up about 4% of the S&P 500 index, investors who own broadly diversified mutual funds already have plenty of exposure (see “When Will Apple Hit $1,000 a Share?”).

That’s especially true of those who own technology funds. Over the past five days, the S&P 500 tech sector is down 2.5% including Apple, but just 0.6% without it, according to Howard Silverblatt, senior index analyst at S&P.

But for those who’ve coveted even more exposure to Apple than they already have, the past week’s sell-off might be just the opportunity.

Comments

We welcome thoughtful comments from readers. Please comply with our guidelines. Our blogs do not require the use of your real name.

Comments (1 of 1)

View all Comments »
    • my best friend’s mother-in-law brought in $16737 past month. she is making an income on the internet and got a $419500 house. All she did was get fortunate and put in action the instructions laid out on this web page (Click on menu Home more information) http://goo.gl/rGtpW

About Real-Time Advice

  • How breaking news — in the markets, Washington, and around the world — affects you and your money. Have a question about how current events may change your financial future? Email us at ask@smartmoney.com.

MarketWatch - Stock Market Quotes, Business News, Financial News
Bulletin
Investor Alert

New York Markets Open in:

Futures: /quotes/zigman/43106711/delayed S&P 500 +0.1% /quotes/zigman/48241424/delayed DOW +0.1% /quotes/zigman/43108768/delayed NASDAQ +0.3%

need to know
IRS says identity thieves breached its systems
Pope Francis to stand with Mexican migrants
Disney's ESPN woes undercut 'Star Wars' gain
U.S. stocks end flat as oil continues to slide
SolarCity shares drop on soft forecast
Apple CEO Cook’s deleted Super Bowl tweet
What to expect from Whole Foods earnings

Japan stocks fall to lowest level since 2014
Abe defends Bank of Japan chief

The sad truth of why retirement
is a myth

Burberry sues, says J.C. Penney copied its designs

Is it wise to hold onto cash reserves?

Election year could be painful on Wall Street

S.F. real estate looks like it did before dot-com crash
Every major city in the world, in one map

Americans quitting their jobs hit a nine-year high
NFIB survey hints wage gains are fleeting
Job openings are second highest on record

Recipe for less boring Oscar speeches

What to know before buying Beyoncé tickets

How to get mortgage approved: hope for sunny day

99 Cent Gas May Be on Its Way
99-cents-a-gallon gas may be on its way: 24/7 Wall St.

Is the gold rally the real deal or ‘fool’s gold’?
Teen can keep $20,000 gold bar found in lake
Gold one of Wall Street’s best bets early in 2016
Gold futures stretch win streak to five sessions

Why is everyone freaking out about ‘CoCos’?
Convertible bonds are alluring as stocks fall
 
Deutsche Bank co-CEO says bank is ‘rock solid’
Deutsche may buy back billions in debt: FT
Why the selloff in European banks is ominous

This stock market has been Europe’s best in 2016

Strategists are arguing that stocks need a true purge

A strand of Lennon’s hair is selling for $12,000

White House forecasts best growth in years
Obama proposes $4.1 trillion federal budget

Five questions that Janet Yellen must answer
Yellen may say goal is not to slow the economy
Fed: Too white, too male, too many bankers?
Expansion won’t die of old age: S.F. Fed study

Facebook, Amazon are the keys to tapping this market
French regulator threatens to fine Facebook
India bans Facebook’s free Internet service


Europe’s battles: migrants, ‘Brexit’ and ECB
German output, exports drop in December
Roubini: Welcome to the New Abnormal


This has been the No. 1 car in America for decades
How far can you get on $50 in gas?
/conga/frontpage.html 367536

Markets »

127.74MDow Volume:
Avg Vol: 130.29M
Unchanged
156
Decliners
4273
Advancers
2073
Price Chg %Chg 1 Day
Range: 1 Day
  • 1 Day
  • 5 Days
  • 1 Month
  • 3 Months
  • 6 Months
  • 1 Year
  • 2 Years
Dow
/quotes/zigman/627449/realtime 16,014 -13 0.08%
Nasdaq
/quotes/zigman/12633936/realtime 4,269 -15 0.35%
S&P 500
/quotes/zigman/3870025/realtime 1,852 -1 0.07%
GlobalDow
/quotes/zigman/629063/realtime 2,080 -4 0.22%
Gold
/quotes/zigman/33772884/delayed 1,189 -10 0.82%
Oil
/quotes/zigman/2260836/delayed 28.46 +0.52 1.86%
FTSE 100
/quotes/zigman/3173262/delayed 5,632 -57 1.00%
DAX
/quotes/zigman/2380246/delayed 8,879 -100 1.11%
CAC 40
/quotes/zigman/3173214/delayed 3,998 -69 1.69%
FTSE MIB
/quotes/zigman/1482176/delayed 15,913 -528 3.21%
IBEX 35
/quotes/zigman/2759620/delayed 7,928 -195 2.39%
Stoxx 600
/quotes/zigman/2380150/delayed 309 -5 1.58%
Asia Dow
/quotes/zigman/6959860/realtime 2,452 -19 0.76%
Nikkei 225
/quotes/zigman/5986735/delayed 15,713 -372 2.31%
Hang Seng
/quotes/zigman/2622475/delayed 19,288 +105 0.55%
Shanghai
/quotes/zigman/1859015/delayed 2,763 -18 0.63%
Sensex
/quotes/zigman/1652085/delayed 23,806 -215 0.89%
Singapore
/quotes/zigman/1709939/delayed 2,576 -47 1.79%
Euro
/quotes/zigman/16008136/realtime/sampled 1.13 0.00 0.03%
Yen
/quotes/zigman/16008150/realtime/sampled 114.77 -0.35 0.31%
Pound
/quotes/zigman/16008140/realtime/sampled 1.45 +0.00 0.08%
Australia$
/quotes/zigman/16008115/realtime/sampled 0.71 +0.00 0.31%
DXY Index
/quotes/zigman/1652083/delayed 96.07 +0.01 0.01%
WSJ $ Idx
/quotes/zigman/41508961/realtime 89.15 -0.13 0.14%
U.S. 10yr
/quotes/zigman/15866666/realtime 1.73 +0.01 0.34%
German 10y
/quotes/zigman/15866409/realtime 0.25 +0.01 4.15%
Italy 10yr
/quotes/zigman/15866497/realtime 1.63 -0.06 3.31%
Spain 10yr
/quotes/zigman/15866444/realtime 1.70 -0.09 4.91%
U.K. 10yr
/quotes/zigman/15866328/realtime 1.43 +0.01 0.88%
Japan 10yr
/quotes/zigman/15866525/realtime 0.02 +0.04 192.51%
Crude Oil
/quotes/zigman/2260836/delayed 28 +1 1.86%
Gold
/quotes/zigman/33772884/delayed 1,189 -10 0.82%
Corn
/quotes/zigman/25518691/delayed 361 0 0.00%
DJIA F
/quotes/zigman/48241424/delayed 15,969 +10 0.06%
S&P F
/quotes/zigman/43106711/delayed 1,851 +3 0.16%
Silver
/quotes/zigman/32655632/delayed 15 0 1.48%

Quotes

Symbol Price Change % Change
FB /quotes/zigman/9962609/composite 99.54 -0.21 -0.21%
AAPL /quotes/zigman/68270/composite 94.99 -0.02 -0.02%
GOOG /quotes/zigman/59527964/composite 678.11 -4.63 -0.68%
BAC /quotes/zigman/190927/composite 12.20 -0.07 -0.57%
C /quotes/zigman/5065548/composite 37.51 -0.30 -0.79%
F /quotes/zigman/264304/composite 11.35 -0.24 -2.07%
T /quotes/zigman/398198/composite 36.65 -0.46 -1.24%
BP /quotes/zigman/247026/composite 28.95 -0.97 -3.24%
GE /quotes/zigman/227468/composite 28.28 0.11 0.39%
Visit the quote page and your most recently viewed stocks will automatically be displayed here.
Please log in to view your watchlist
MarketWatch Portfolio

World News from MarketWatch

Rates »

5 yr CD
1.3%
2 yr CD
0.7%
1 yr CD
0.5%
MMA $10K+
0.2%
MMA $50K+
0.4%

National averages from Bankrate.com

You Don’t Need Another Credit Card, You Need A Better One.
Avg. APR Last Week 6 Months
Low Interest 11.96% 11.96% 11.62%
Business 13.12% 13.12% 12.85%
Student 13.42% 13.42% 13.14%
Balance Transfer 14.35% 14.35% 14.12%
Airline 15.17% 15.17% 15.10%
Cash Back 15.26% 15.26% 15.27%
Reward 15.28% 15.28% 15.14%
Instant Approval 18.21% 18.21% 18.00%
Bad Credit 22.88% 22.88% 22.73%
Source:CreditCards.com

SPONSORED SECTIONS

Trending Tickers
  • /quotes/zigman/13139813/composite SCTY-5.69%
  • /quotes/zigman/245568/composite DIS+0.22%
  • /quotes/zigman/93928/composite PSEC-7.39%
  • /quotes/zigman/207002/composite DB-1.03%
  • /quotes/zigman/41663/composite GLD-0.22%
X
Powered by StockTwits
Link to MarketWatch's Slice.

As of July 2, 2013, the SmartMoney content you loved now lives on MarketWatch.

MarketWatch will continue to provide the same important news and information you rely on every day. And, as a MarketWatch user, you will be able to enjoy:

  • Personalized news and quote email alerts
  • Editorial e-newsletters about personal finance, mutual funds and market-specific coverage
  • Premium newsletters by our market experts
  • Games, such as Virtual Stock Exchange and Beat the Darts
  • Free WSJ.com registration