Although Share Prices Have Fallen Off A Jingdong, These Five Facts Should Not Be Ignored Before The Apple Industry Is Over.

After Apple Corp released its first quarter results in 2016, "

The news of "a record of two years of decline" has once again boarded the layout of major technology media.

In all articles, the most vivid description is nothing more than stock price "drop a Jingdong", Apple's first quarter earnings report, second day share price fell more than 6.5%, overnight.

More than 36 billion dollars, higher than Jingdong's $34 billion 600 million market capitalization at that time.

It does look horrific, but there are several key issues that are intentionally or unintentionally ignored and confused in a bad voice.

1. apple is not the first time to finish.

As early as 2012, Apple Corp's stock price had experienced a continuous decline, and by April 2013, it had fallen by 44%.

It was also the beginning of the first sustained decline. Apple's failure to finish was almost the product of every quarter's earnings.

It's a bit miserable.

However, please note that not only one apple has fallen.

As Apple's worst enemy, Samsung's share price has declined more than apple in the past two years.

In September 2015, Samsung's share price evaporated nearly $60 billion for five consecutive months, directly dropping out of a single millet.

(in August 2015, media reports reported that millet valued itself at $60 billion in the sixth round of financing).

Apple's dilemma is the plight of almost all smartphone manufacturers.

IDG's Market Research Report showed that in 2015, global smartphone shipments increased by 9.8%, the first decline to single digit.

Whether it is "falling a Jingdong" or "falling out of a millet", apple and Samsung are having a hard time, and other manufacturers are not as good as where to go.

Many people attributed the collapse of Apple's share price to a loss of revenue, which is obviously not seeing earnings.

Look at the three sets of data:

(1) net revenue in the first quarter was $75 billion 872 million, an increase of 2% over the 74 billion 599 million US dollars in the same period in 2015. (2) net profit was 18 billion 361 million US dollars, an increase of 2% over the 18 billion 24 million US dollar in the same period in 2015. (3) second quarter revenue is expected to be between 50 billion US dollars and 50 billion dollars, and the gross profit margin is expected to be between the two countries.

Yes, apple is still making a profit, or even a record.

However, the US stock market takes value investment as the core and values the future performance outlook rather than the status quo.

Although the performance of the first quarter was another record high, but the growth rate of the business has slowed down sharply, and the second quarter's performance outlook has not reached the analysts' expectations. After the Fed's monetary policy meeting, the US shares fell overall, and it was not surprising that Apple shares fell.

3. apple is more concerned about exchange rate than iPhone sales.

Apple's share price has fallen by nearly 20% in the past six months, due to concerns that iPhone sales may have peaked.

Suppliers also reported that Apple will cut its planned output of iPhone 6S/6S Plus30% in the first quarter of 2016 to help retailers digest existing stocks.

IPhone sales growth slowed down on the one hand reduced the actual revenue, on the other hand became Apple's share price crash of public opinion fuse.

This does seem to be Apple's biggest worry.

But in contrast, in terms of share prices and market capitalization, the current CEO Cook's biggest worry is the change in the global exchange rate.

According to the earnings report, 2/3 of Apple Corp's revenue comes from other countries and regions outside the United States.

At present, sterling, euro, Canadian dollar, Australian dollar, Mexico pesos, Turkey lira, Brazil Real and Russian rouble continue to be weak, and the dollar exchange rate has eaten up a considerable part of overseas income of Apple Corp.

Cook has clearly pointed out that compared with the fourth quarter of 2015, exchange rate changes caused losses to Apple's overseas revenues up to 15%, seriously dragging down revenue and share prices.

4. Apple subversive in the field of smart phone is zero.

Every time Apple's share price plummet, Apple's development prospects will be re counted.

But from a different perspective, at present, the smart phone market has brought apple down the altar of the manufacturers?

It is undeniable that although the experience of Android camp smartphone has been greatly improved, it has not been able to achieve a high premium of hardware and software integration so far. Instead, it struggles back and forth in low price mire, and it is hard to have profits to support quality and brand.

A direct data shows that the average selling price of apple iPhone mobile phone is up to 680 US dollars in 2015, while in the Android camp, the most eye-catching HUAWEI is priced at 282 US dollars, while the average price of millet mobile phone is 149 US dollars.

Although Apple Corp's innovation has begun to decline and its share price has plummeted, the successor who can drag apple down the altar has not appeared in the main business area of apple. At the most we can say that Apple Corp has come to a turning point of development.

Of course, this does not mean that apple can always stay on that throne. Few years ago, almost no one could imagine that Apple would pull NOKIA down the altar, but it still happened.

Subverting Apple products and vendors is very likely in areas outside mobile phones.

5., Apple's crisis is out of step with the innovation mode of the times.

Everyone knows that apple is less innovative than before.

As Jobs's successor, Cook also carried out the black pot.

But in fact, apple in the Cook era never lacks innovative ambitions. From Apple watches, cars, virtual reality and other products or rumors, you can get a glimpse of one or two.

The problem is that Apple has been trying to maintain its innovative and innovative culture, which is not applicable to the present era.

Carefully reviewing the innovative culture of Silicon Valley in the era of Jobs and Bill Gates, we can see that the innovation at that time was rebellious innovation, dropout and garage business were popular. All of us advocate a culture that is completely different from reality, and establish our own product and brand empire.

But today, if you visit Silicon Valley for more than a few days, you will find that this rebellious innovation culture has basically disappeared. Instead, there are three totally different mixed faces. One is the remnant treason and innovation, the two is the rare engineer innovation, and the three is the mainstream of the western dress and leather shoes innovation.

In particular, capital innovation, when Silicon Valley attracts a large number of venture capitalists, can be the fastest way to bring the largest return on capital, has become the most popular and most popular target.

The technological innovation that requires long cycle R & D is the most unacceptable.

If we jump out of Silicon Valley, we can see another interesting phenomenon if we enlarge the innovation to the whole us. The innovation and entrepreneurship in the United States has spread to the whole country, and from the data collected by Chinese venture capitalists who focus on the US project, these innovative enterprises have three characteristics. One, they are gathered around the top universities, two, the small ones are the small ones, and the three is the open cooperation.

These characteristics are summed up in a word, the era of creating subversive products by themselves in the garage is over.

But in Apple's view, Apple's image has changed greatly since Cook took the baton, but the closed self centred corporate culture has not changed substantially.

The existing mobile phones, computers, iOS systems and other product systems are extremely closed. There is no need to say much. Even if Apple's virtual reality and Apple's cars are coming, so far, no one knows what apple is doing.

On the other hand, with the development of Google, Facebook and other emerging enterprises, today's technological innovation talents tend to prefer an open business environment. If there is no continuous attraction of excellent innovative talents, Apple's innovation problem will not change significantly.