To understand why there is a dramatic decline of the stock value of Apple, we need to know some quick figures in their financial transactions.
Basing on the latest reports by Apple last October, smartphones comprise of 63% percent of the entire company revenue. The figure includes the the products from the app store — Apple Music, games, and ads.
Smartphones has the mammoth share of sales but other major products shy in percentage. The Mac only has a 13% share and continues to decline over the years. The iPad has 8% of the revenues and expected to grow upon the release of the iPad Pro — the a bigger tablet with a keyboard and the iPencil.
The latest major Major product is the Apple Watch. However, we cannot really tell that the product was a success. It is often times categorized as miscellaneous products like the iPod, Beats headphones, and other accessories.
These other products share a total of 6% of the revenues.
The Apple Watch seems to show promising results last Christmas. For now, we just lengthen our anticipations with the watch was a flop or not.
Investors were worried because Apple rely so much on the sales from the iPhone. The business are often repetitive. Apple fans normally wont shift if they started to use an iPhone. They tend not to switch to another phone. However, Apple is making no progress in gaining new customers.
Credits to BBC News
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