Friday, May 23,2008 @ 10:10am
Barron's: Apple stock slide linked to iPhone rumors
A recent slip in Apple's stock value over the course of a day -- to as low as $175.41 on Thursday -- was attributable to iPhone rumors, writes Barron's. The financial publication notes that even though Apple has not technically announced the 3G iPhone, "rumors of a rumor" began circulating on Thursday that the product would be delayed, causing mild investor panic. As of press time, Apple stock has since recovered some of its value. Apple is expected to reveal the existence of the 3G iPhone on June 9th, the beginning of the company's WWDC conference in San Francisco.
Barron's also writes that the CFO of AT&T, Rick Lindner, is saying that the carrier yet to decide its pricing for the next iPhone, even though accounts have circulated that it is dropping revenue sharing and going with a subsidized scheme. Although Apple would lose out on a continual source of income, AT&T would have to drop its price by as much as $200, and thereby increase sales of the actual handsets.
"There’s not been a product announcement. There hasn’t been any pricing decisions made. That’s yet to come," says Lindner.