The stories behind Apple and Amazon

If you’re not into Apple or investing, you may not have known this, but Apple shares fell in price recently, from an all-time high of over $700, to under $450, following the company’s quarterly earnings report. Another well-known company, Amazon, saw the opposite happen, when its shares rose following its earnings report.

So far, so boring, you say. Companies produce a bad earnings report, their shares go down. Or they do well, and their shares go up. This is news? Next you’ll be telling me the Pope is Catholic.

Here’s the thing, though. Apple’s earnings report wasn’t bad. Yet its shares went down. And Amazon’s earnings report wasn’t very good. But the shares went up. Read More...