Facing criticism for a lack of innovation during his tenure as well as reports of deep-pocketed investors pulling out in the last few months, Apple CEO Tim Cook unveiled the global tech titan’s iPhone 7 and 7 Plus and the new Apple Watch 2 Wednesday in front of a fervid San Francisco crowd.
While Apple’s events are some of the most widely anticipated across the industry, the announcements weren’t met with the same enthusiasm by investors. Apple Inc. (NASDAQ: AAPL) opened at 107.86 a share Wednesday morning and after some slight trebles up and down, closed up 0.66 at 108.36, or 0.61 percent. It was a very modest climb but likely not the kind of reaction Cook wanted from investors after such big reveals. The stock reached a day-low of 107.07.
The stock closed at a price of 107.70 Tuesday afternoon, and is currently well behind its 52-week high of 123.82 a share, reached in November of last year.
Cook, who took over as CEO in 2011 after Steve Jobs resigned, unveiled the latest incarnation of the iPhone and said new color schemes will be available and that the device will have a more powerful camera. He also said the phone wouldn’t have a headphone jack and would instead require wireless earbuds called AirPods. The phone will retail starting at $649 with 32GB worth of space, and orders can be placed Friday.
Along with new features to Apple Watch 2, Cook also announced a partnership with global shoe and apparel outlet Nike for the Apple Watch Nike Plus, which is specifically designed for runners and comes with a stretchy band. Cook also said the Apple Watch 2 will be waterproof, calling it perfect for runners and swimmers.
Attempting to broaden the appeal of the watch may combat the products slipping sales. In the second quarter, shipments of Apple’s wearables plunged almost 57 percent.
However, the wearables' sales could climb now that Nintendo's mega-hit game “Pokemon Go” will be playable on Apple Watch.
While Cook was promising a stronger, more robust future, CNBC reported that investors from some of the largest global funds have been selling chunks of Apple’s stock. According to the report, eVestment data shows institutional investors sold Apple in the second quarter and that it was the biggest loss of ownership of “any other major stock.”
Apple’s now reportedly held by 20.42 percent of all funds, compared to 20.83 percent in second quarter of this year. In the same vein, top tech stocks Facebook and Amazon experienced similar increases, according to CNBC.