Clem Chambers, CEO of ADVFN, the leading stocks & shares website There’s a belief that Apple will fall now. This could happen for two reasons. The first is the global equity market is very fragile. China has crashed and Greece, ‘Grexit’ or not, has made markets swing around on the basis of 10 million folks bouncing their collective cheques. If 0.2% of the world’s population can swing the Dow 500 points then the market is not robust and could easily take a heavy tumble. Apple may as well be the NASDAQ, so if the market goes belly up so will Apple.
The second reason is the Apple Watch. It’s not going to do the $18 billion of sales in the first year the clownish analysts were screaming; it will be lucky to do $5 billion. I predict less than stellar success for one simple reason: I want one, and that’s not a good sign!
Joking aside, a quite normal slow start to sales of the Apple Watch could drag heavily on Apple because it will beg the question: “Where is the next Apple smash hit going to come from?” Time will tell.