Silicon Alley Insider asks what's next for Apple's stock. Shares are more than 35 percent off their high of $200 in late December. Dan Frommer says the pullback has been due to "1) the collective realization by Apple fans that the company is operating in the same weakening economy as everyone else; 2) the iPod growth cycle is over; and 3) the iPhone may not be quite the gangbuster sales engine [everyone] thought during the euphoric December quarter last year."
Meanwhile, the stock's volatility over the past two weeks, he says, has been caused by more disappointing iPod news and skepticism about the iPhone's prospects for 2008.
Given the strong sales of Macs and Apple's recent iPhone projection reaffirmation, Frommer says the company's "long-term looks as good as it ever has. So Apple fans who complain that Apple never discounts its products should enjoy this 35%-off sale while it lasts."