Apple is under pressure.
The company’s stock dropped 5% in early trading on Wednesday following quarterly results on Tuesday that were a mixed bag for investors.
Apple reported first-quarter profits that grew compared to the prior year, were a record high, and beat analysts’ forecasts. But revenues of $75.9 billion were short of estimates, and the company projected a decline in quarterly sales for the first time in a decade.
The earnings release was all about the iPhone, in a sense, and on that front, Apple disappointed. Unit sales were 16.12 million, down 21% year-on-year, and missing the expectation for 17.3 million.
In the press release and on the conference call, CEO Tim Cook noted that a weakening global economy, particularly in China, weighed on the company’s performance during the quarter.
Here’s a chart showing the drop in shares on Wednesday morning, which has taken the stock to the lowest levels since early last August: