Apple dropped below $500 in intraday trading on Tuesday after managing to stay just above that mark the day before. The stock has had a forgettable last few months, but behind its latest fall are news reports that claim the company was seeing lower-than-expected iPhone 5 sales. According to Cramer, who hosts “Mad Money” on CNBC, it was no secret that Apple’s new products had been received with incrementally less enthusiasm than before. And the company may only have itself to blame for the dropping excitement levels, Cramer said.
Should you buy or sell Apple’s stock ahead of earnings in a few days? Our 20-page proprietary analysis will help you save time and make money. Click here to get your SPECIAL REPORT now.
“The new iPhone came with a new plug,” he said. “Nobody I know wanted a new plug. They have their old ones, and they loved the fact that you only need one plug for the whole Apple ecosystem. The ecosystem took a hit, and the ecosystem is part of what makes Apple so terrific and unique.”