No Worm in Apple, Yet Stock Falls

Record-high $1.5B earnings fail to placate nervous investors
By Zach Samalin,  Newser Staff
Posted Jan 22, 2008 10:23 PM CST
Apple CEO Steve Jobs gestures during his keynote address at the MacWorld conference in San Francisco, Tuesday, Jan. 14, 2008. Apple Inc. is scheduled to report first-quarter financial results after the...   (Associated Press)
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(Newser) – Despite reporting record-high earnings, Apple saw its stocks fall more than 11% after the market closed today, the New York Times reports. Apple's lowered 2nd quarter earning expectations may have sparked the drop, analysts say, unless investors are anxious about the high-end electronics market in general as the US economy slows down.

"We'll leave the economic forecasting to others," said Peter Oppenheimer, Apple's CFO, who highlighted Apple's $1.58 billion earnings in the first quarter of 2008, up from $1 billion last year. Oppenheimer pointed to post-Christmas shopping lag and sluggish software sales to explain lower second-quarter projections.