Apple announced last month that it would be selling the iPhone 5 in China on Dec. 14, although media reports have indicated a tepid reaction. There were, reportedly, few customers waiting outside Apple's flagship store in Beijing's Sanlitun shopping district, though the country is experiencing a snowstorm. Apple also recently changed the way it allows customers to order the phone, making them sign up for a pre-order list to avoid the riots Apple experienced last year when it launched the iPhone 4S.
Analysts were also playing a part in Apple's decline, with UBS analyst Steven Milunovich cutting his price target from $780 to $700 on lower-than-expected iPhone and iPad shipments in the first calendar quarter.
Jeffries analyst Peter Misek wrote in a research note that Apple's component suppliers have received order cuts in the past couple of days. "Apple component suppliers have received order cuts in the last 24-48 hours, but we believe assembly orders remain unchanged," Misek wrote in his note. He rates Apple "buy" with a $800 price target.
Adobe Systems (ADBE) shares jumped 4.93% to $37.28 after the company posted better-than-expected earnings results for the fourth quarter. Adobe, based in San Jose, Calif., earned 61 cents a share on $1.15 billion in revenue, outpacing the 56 cents a share on $1.1 billion analysts were expecting. "We beat our Creative Cloud subscription goals and established Adobe Marketing Cloud as the leader in the exploding category of Digital Marketing during fiscal 2012," said Adobe's President and CEO Shantanu Narayen in the press release. "In fiscal 2013 we intend to accelerate our pace of innovation, and drive integration between Creative Cloud and Adobe Marketing Cloud."
Facebook (FB) shares fell 2.76% to $27.48 despite the company announcing a new improved app for Android, Google's (GOOG) mobile operating system. The social networker also updated its app for iOS, Apple's operating system. It added the ability to post photos to albums, faster speed on the app itself, and a rebuilt timeline that opens faster. -- Written by Chris Ciaccia in New York >Contact by Email. Follow @Commodity_Bull
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV