Stock Market, There Are a Number of Term Paper

Open, View, and/or
Download this Document

Total Length: 634 words ( 2 double-spaced pages)

Total Sources: 1+

Page 1 of 2

Stock market, there are a number of factors that will have an impact on share prices. This is because of perceptions about: future prospects for the company and the effect of new products / services on the earnings per share. In the case of Apple, the stock fell from $205.94 to $192.06. This was in response to the firm announcing the introduction of the I Pad. What makes the situation so troubling; is this was an eagerly anticipated announcement for a series of innovative products. Yet, investors were not enthusiastic on the news (which led to the selloff). To fully understand what is happening, there will be a focus on why the price of the stock fell. Once this takes place, is when specific insights will be provided that is showing if this was a systematic or an intrinsic move.

Why would the price of AAPL fall just when the company announces an exciting new product? The reason why Apple fell was based upon systematic and intrinsic factors.

Stuck Writing Your "Stock Market, There Are a Number Of" Term Paper?

View All Our Example Stock Market, There Are a Number of Term Paper

Have A Custom Example Essay Written

The systematic issues are surrounding fears that the economy was about to slowdown. This is from: a reduction in government spending (i.e. The stimulus program), concerns about profit margins, a stagnant consumer, weak housing prices and the renewed possibility of a double dip recession. The combination of these factors caused the stock market to sell off. ("Apple I Pad Sends Stock Down," 2010)

As a result, Apple experienced similar concerns when they introduced the I Pad. This is because the weak economy could reduce demand for portable electronics. If this were to happen, Apple could face declining earnings. This caused some worries about if the price of the stock had climbed to fast (which resulted in the selloff). In this aspect, one could argue that systematic factors were affecting the viewpoints of investors. ("Apple I Pad Sends Stock Down," 2010)

Moreover, the declines in the price of the stock….....

Show More ⇣

     Open the full completed essay and source list


OR

     Order a one-of-a-kind custom essay on this topic


sample essay writing service

Cite This Resource:

Latest APA Format (6th edition)

Copy Reference
"Stock Market There Are A Number Of" (2012, June 30) Retrieved May 22, 2025, from
https://www.aceyourpaper.com/essays/stock-market-number-65913

Latest MLA Format (8th edition)

Copy Reference
"Stock Market There Are A Number Of" 30 June 2012. Web.22 May. 2025. <
https://www.aceyourpaper.com/essays/stock-market-number-65913>

Latest Chicago Format (16th edition)

Copy Reference
"Stock Market There Are A Number Of", 30 June 2012, Accessed.22 May. 2025,
https://www.aceyourpaper.com/essays/stock-market-number-65913
   

Open, View, and/or
Download this Document
order custom essay example