The credit crunch is will at least have healthy teeth if biting into an Apple qualifies as a good snack. Apple Computers has had more than $90 billion wiped of its value in under 12 months.
In December last year, Apple was at an all-time high when the share-price hit $202.96. It hit a low of $89.95 last week before closing on Friday at $96.38.The fall in share price represents a loss in value of more than $90 billion in the company.
The fall of Apple is somewhat contradictory to the growth of the business. As a brand, Apple is at its most popular position ever with the public.
The iPhone is the second superstar product the company has produced after the iPod. The two products have become part of daily life.
The iPod followed by the iPhone has regenerated the interest in the Mac as a computer. 5 years ago, Mac computers had around a 3% market share. Today, they are used by 18% of uses.
While that figure is still a long way away from PC penetration, the Mac is quickly becoming the computer of choice as more and more people upgrade from PC to Mac when they need a new computer.
So what does a $96 Apple share mean? Right now, it means value.
7 million iPhones were sold in the last quarter generating more than $1 billion in income for Apple.
It will be interesting to see what happens after the American election with the “credit crunch” and world economic disaster. The “secret society”, who are the real power in the world, will have made their statement by then with the change of the US Presidency. They have used the upcoming election as a shield to rob from the poor and give to the rich by manipulating the markets.
The big question in this whole economic downturn is “who is getting rich out of it?”
What the media continually fails to point out is that you cannot sell a share unless someone is prepared to buy it. Someone is making a fortune right now. Post-election, it should be time to sit back and count the profits.
As for Apple, I wish I had a few spare bucks. It is ripe for the picking.
