Subtitle: Expectation Setting
I used to comment that IBM, used to have brilliant marketing and for the most part slightly less than brilliant products.
But in 2016 I'd like to suggest that Apple has firmly taken over their mantle.
After announcing reduced sales/ revenues not only from iPhones but also reduced PC market share it was a surprise to many that the share price has jumped
What are the Learning Points
- In a FED assisted continually rising US stock market, the overall trend is up, even with bad or lacklustre news
- Apple pumped Analysts to expect a 42.1 Billion USD sales target
- Apple then delivered a 42.4 Billion USD actual sale
- So by under promising/indicating, and then slightly over delivering, despite being down from the 49.6 Billion USD in the quarter one year ago
- It appeared to over-achieve
- And people are still so desperate to talk up the stock market, and in particular to Praise Apple (their sales and profits are still utterly staggering I have to admit, despite contraction)
YEP, the stock actually went up.
So you see, just like your parents should have told you.
Expectation Setting is Key