Apple Inc. (NASDAQ:AAPL) Shares: Optimistic After Memorial Day
Apple Inc. (NASDAQ:AAPL) shares in the week after Memorial Day moved up 5.77% as compared to the negative weekly performance of 6.41% during the week ended May 18, 2012.
The stock opened higher on first weekly trade following holiday and closed up $10 that day after industry insiders and executives said that Apple is expected to launch a TV-based device in late 2012 or 2013 that has the potential to shake up the cozy television content and distribution industry in the same way as the iPod and iPhone disrupted music and mobile content, but Cook steered clear of providing comment on that matter directly.
On Wednesday, shares extended rally following news hit the market that Sean Parker, a director of the company, expect Apple Inc may have attempted to stop Spotify, the popular music streaming service, from entering the U.S. market. Parker added that Apple considered Spotify as a threat and that he had gotten signs from dealings with people inside the industry that the iPhone maker was trying to hinder Spotify’s growth onto its home turf.
Parker said at the All Things Digital Conference held in Rancho Palos Verdes on Wednesday that there was some signal that that might have been happening. The early Facebook Inc (NASDAQ:FB) investor was replying to a question by interviewer Walt Mossberg as to whether Apple had endeavored to keep Spotify out of the United States.
But then on Thursday shares traded down on news that working conditions at Foxconn’s large Chinese factories that makes Apple Inc’s (AAPL.O) slick gadgets have hardly improved despite vows this year to stop labour violations, according to a report released by labour watchdog Student & Scholars Against Corporate Misbehaviour (SACOM).
The workers’ rights activists and employees report findings were based on visits to several Foxconn Technology Group factories and 170 workers interviews. The report found rights violations remain the standard such as high production targets, inhumane treatment and signs of overall salary cuts.
Last week’s last trade, also June’s first trade, was in red and shares retreated to level below it had ended prior week at $562.29. There was a report on Friday that Netflix, Inc. (NASDAQ:NFLX) topped Apple last year to become the biggest U.S. online movie streaming service in terms of revenue, according to IHS Screen Digest Broadband Media Market Insight report.
The report revealed that Netflix’s share of U.S. online movie revenue moved up dramatically to 44 percent in 2011, higher compared with less than 1 percent in 2010 while Apple’s share of the total market moved down to 32.3 percent 2011 from 60.8 percent in year before.