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Apple shares fall after reports of flat iPod sales

Posted on Saturday, June 04 2005 @ 02:23:16 CEST by

Apple's shares fell 4.5 percent, from $40.04 to $38.21, after reports about slow iPod sales. Yesterday Goldman Sachs said in a report it expects shipments of Apple's popular line of iPod digital audio players will remain flat this quarter. This claim was supplemented by a report from AppleInsider that claimed Apple has a glut of most iPod models, especially the iPod shuffle.

AppleInsider cited sources who said iPod shipments are flat or declining for the first time since the launch in 2001.
Piper Jaffray analyst Gene Munster told Reuters that growing iPod supplies are not surprising because the company did not introduce any new products during the quarter, and inventory caught up to slowing demand for the gadgets, which dominate the digital music market and are one of Apple's biggest revenue drivers.
Source: USA Today



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