Apple (APPL) reported its quarterly earnings yesterday, and we saw shares in Apple stock plunge as a result.
It was the first earnings announcement since the introduction of the much-touted Apple Watch, so it attracted lots of attention.
And much of that attention was negative.
The price of the stock was off by about 1 percent by the end of the trading day, and after-hours trading took an even bigger toll, with the losses hitting 7 percent as the Apple stock plunge continued.
For any normal company, of course, the earnings news that Apple reported would have been considered fairly spectacular.
Quarterly profits were up by 38 percent.
The company’s gross margin stands at 39.7 percent.
Sales of the firm’s iPhone unit were up by 35 percent.
But in Apple’s case, Wall Street didn’t like it.
So Why Did Apple Stock Plunge?
According to the news, it was all about expectations.
Market analysts had been looking for numbers that were even better than the ones Apple reported, so they were disappointed big time.
Had those expectations been realistic?
After all, some pundits had been predicting earnings growth from Apple to the tune of 50 percent, so a walloping gain of 35 percent wound up looking pretty puny.
Some analyst’s forecasts projected iPhone sales of 50 million unit, but Apple only managed to see 47.5 million iPhones during the quarter.
Some of it seems to have been based on pure fantasy, but with Apple’s reputation as a miracle company, the analysts managed to get away with those loony predictions.
How We Saw The Apple Stock Plunge Coming
But not everybody expected to see such pie-in–the-sky results when Apple reported earnings.
In fact, our astrological work was showing just the opposite.
In our Financial Cycles Weekly newsletter published on July 12, we examined the astrology behind share prices for Apple stock, pointing out the heliocentric Mercury/Uranus dynamics that have been remarkably consistent in bring prices lower.
We also warned our readers, “don’t be surprised to see some sobering news on July 21, when AAPL reports its quarterly earnings. It will be the first quarter to include sales of the Apple Watch, but transiting Saturn will be near the Midheaven of the AAPL First-Trade chart at the time of the announcement. Saturn will also be activating the First-Trade Uranus/Hades midpoint, so there could be a very nasty surprise.”
So we expected to see the current Apple stock plunge.
In fact, it’s showing up right on time!
Get The Full Story
For more details on the astrology behind the Apple stock plunge, be sure to see the front-page article in the July 12 issue of Financial Cycles Weekly newsletter. CLICK HERE to download a free copy of that issue.