Apple shares crashed  2.2 percent  Monday despite the company’s high profile event in California where it unveiled new offerings including gaming and streaming-television services.

The tech giant’s shares opened positive but soon slipped into the red, and  Apple share plunged to session lows after 3 p.m. ET and ended the day down at $188.74 per share.

There is a surprise at this anti-climax when investors should have been rejoicing at the company’s foray into revenue garnering areas.  

It seems, despite the event lining up big unveilings and celebrity appearances that ranged from Oprah Winfrey to Steven Spielberg, the market was not impressed.

 Throwing some insight, Angelo Zino, an equity analyst at CFRA said the sell-off was not surprising and reflected the market frustration. It was a case of results not matching expectations.

“As far as the event is concerned, I think there was an expectation that we would get answers to a number of things we didn't get answers to,” Zino said.

He said there should have been clarity on gaming service's rollout and TV streaming service. Beyond the broad details, pricing points of the new TV app were conspicuously absent.

What were the major announcements?

The apple event proclaimed the following announcements in terms of new service products.

·         A new gaming service Apple Arcade

·         A physical credit card in association with Goldman Sachs

·         Streaming service to take on Netflix

·         Apple News+ magazine service for news

Short term declines possible

Meanwhile, leading brokerage firm  BTIG shrugged off the decline as temporary. It had predicted a small decline of Apple stock well in advance in the aftermath of the company’s Cupertino event.

However, the firm urges investors to look at the Apple iPhone maker’s bright fundamentals in the long term. It also points out that Apple stock has been handsomely up by 21 percent year-to-date until Friday riding on positive investor sentiments over the plans to diversify into services.

In the short-term, some abrupt declines of the stock are not ruled out given its huge run so far.

In a note, BTIG analyst Walter Piecyk reiterated his Buy rating for Apple shares by vouching that the company’s revenue will shoot up in 2020.

On the temporary stock decline, the analysts said Apple may not have said much at the event that could satisfy media skeptics. 

“The haters are likely to be rewarded with a near-term sell-off in Apple’s stock,” the analyst added.

Revenue jump likely in 2020

 “Near-term data points have not been positive for the iPhone business, but we still expect abatement in the lengthening of the product cycle to return the company to growth in 2020,” Piecyk wrote. 

Piecyk said his sales forecast for fiscal 2020 for Apple is above the Wall Street consensus, and the company’s stock buybacks may drive double-digit earnings growth ahead.

Investor skepticism may take time to go

Apple’s new passion for streaming-video service is seen with mixed prospects. Many see Apple as playing for a controlling stake in the fast-growing television entertainment industry.

Skeptics note that Apple may also go in a conservative direction rather than directly hitting Netflix and others. The iPhone maker may want to use collaborative partnerships with content providers for expanding space in the business of entertainment distribution than limiting itself to the role of a mere content producer.

However, the not so excited response for Apple’s plans within the “Who is who” of entertainment, movie, and television points to the fact that it may take time for Apple to make the right impression on shareholders.