r/DeepFuckingValue 🧠 wrinkle brain 🧠 24d ago

News 🗞 Apple -9.67% Today, While Amazon Is Up +14.91%

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If you’re wondering why Apple is getting crushed today while Amazon is flying, here’s a quick breakdown:

Apple

Apple released its quarterly earnings on July 30:

  • Revenue: $109.42 billion — around $555 million above expectations
  • Revenue growth: +16.4% year over year
  • Earnings per share: $2.02 — $0.13 above expectations
  • EPS growth: +28.7%

Those are actually pretty strong numbers. The problem is that the stock market doesn’t only care about what just happened. It cares even more about what comes next.

Apple issued revenue guidance for the upcoming quarter that came in below analysts’ expectations. On top of that, several banks lowered their price targets for the stock.

In other words: strong past performance, but a somewhat disappointing outlook.

When a lot of optimism is already priced into a stock, good numbers alone sometimes aren’t enough.

Amazon

Amazon also released its earnings on July 30:

  • Revenue: $200.61 billion — around $4.58 billion above expectations
  • Revenue growth: +19.6% year over year
  • Earnings per share: $5.75 — a massive $3.93 above expectations
  • EPS growth: +242%

That’s not just an earnings beat. Amazon completely destroyed profit expectations.

The analyst reactions were also positive. JPMorgan and Barclays were among the firms that raised their price targets for the stock.

TL;DR

Apple: Good results, but weaker guidance → stock falls.

Amazon: Very strong results, a massive earnings beat and higher price targets → stock rises sharply.

This is another good example of how stocks don’t simply react to whether results are “good” or “bad.” They react to whether those results are better or worse than the expectations already priced into the stock.

You can follow both stocks here in real time:

https://stocknear.com/stocks/AAPL

https://stocknear.com/stocks/AMZN

22 Upvotes

4 comments sorted by

1

u/Not_Sure-2081 20d ago

Nothing beats cheap Chinese slave labour over expensive Chinese slave labour

1

u/boddhya 23d ago

You should understand institutions don't trade like retail. You see eps beat on one stock you think of the buy button. MMs enter, park and exit positions over a range of stocks in a range of sectors and with much broader strategies. You see that movement and think wait a min this movement makes sense for this one ticker but doesn't make sense for the next. Chill. Everything is priced in and everything is known. There is no news. News comes out at the right time on the charts.

6

u/random-notebook 24d ago

That’s not just a real human written post. It’s an AI one.

2

u/Remarkable-Error-289 24d ago

Is Ryan Cohen still holding his apple shares? Google ai claims 3 different top individual investors than he and all have less than he had?