San Francisco: Apple Inc.’s price cut of its iPhone and new lineup of iPod players are expected to ring in healthy holiday sales, but Wall Street investors accustomed to Apple’s meaty profit margins appear a bit disappointed.
Apple stock dropped more than 5 percent after the price cut was announced Wednesday, closing at $136.76, down $7.40. In extended trading, the share price fell another $1.01.
Meanwhile, gadget enthusiasts who snapped up the ballyhooed iPhone before Wednesday are coping with a bitter aftertaste now that it is $200 cheaper within 10 weeks of its introduction.
The price cut, from $599 to $399 for the 8-gigabyte iPhone, immediately set off a debate on online tech forums between early adopters, who said paying a premium price came with the territory, and those who said they felt burned.
