Investors don’t “like” Facebook, Apple
Bullish investors can always make excuses for their babies when the market is doing poorly. If a stock’s decline is combined with a drop in the overall market, it doesn’t necessarily mean gloom and doom, and at least the stock is possibly just guilty by association.
But when the market is moving up and your darlings are dropping, completely missing out on the fun? It’s time to “un-friend”, baby.
Such is the case with Facebook, which has been nothing short of a tragedy since its initial public offering, and Apple, which has historically been a great buy but has had trouble in more recent times.
Facebook (FB) dropped .4% to about $24 per share on Wednesday, with investors citing a lack of innovation (and in Facebook’s case, a lack of ways to monetize the huge user base the company touts) as continuing issues for the company.
Meanwhile, Apple (AAPL) had a larger drop, slipping 1.4% to under $400, a new two-month low for the longtime tech superstar. Even though Apple has still done nicely in the long run (over quadrupling since March 2009), many are concerned that the company’s long run of innovative products is starting to slow down, with redesigns of existing products instead becoming the norm.
