Apple-related shares fall after new products fail to impress
A near 2 percent tumble in Apple (NASDAQ:AAPL - News) shares following the new product launches overnight, reverberated across related tech shares in Asia early Thursday.
Taiwan-listed Hon Hai Precision Industry Co. (Taiwan Stock Exchange: 2317-TW), which goes by the trade name Foxconn and is an assembler of the iPhones and iPads, slipped 0.82 percent to T$84.80 at the open.
Other major suppliers such as Pegatron (:4938-TW) and Catcher Technology (:2474-TW) eased 1.3 and 0.9 percent respectively, while integrated circuit packaging and testing services providerAdvanced Semiconductor Engineering (:2311-TW) fell nearly 1 percent.
In Japan, Apple-linked plays were similarly pressured by the declines overnight. Alps Electric (Tokyo Stock Exchange: 6770.T-JP), a Japanese electronics supplier for carmakers and the iPhone maker, was the biggest loser with a fall of 5.1 percent at 3,530.0 yen.
Meanwhile, Murata Manufacturing Co. (Tokyo Stock Exchange: 6981.T-JP), Foster Electric Co (Tokyo Stock Exchange: 6794.T-JP) and TDK Corp (Tokyo Stock Exchange: 6762.T-JP) slumped between 2.9 and 3.6 percent.
The U.S. technology giant unveiled new iPhones, iPads, Apple TV, Apple Watch features and a surprise device called the Pencil on Wednesday. However, shares closed down 1.9 percent to $110.15, replicating the stock's recent history following such product rollouts.
"People love to hate Apple announcements because the expectations are so high and they can never clear that bar," Kevin Landis, portfolio manager of the US$111 million Firsthand Technology Opportunities fund, told Reuters.
According to data provided by BTIG Research, Apple shares have lost an average of 0.4 percent on the day of iPhone announcements over the past three years.
- CNBC's Anita Balakrishnan and Reuters contributed to this report
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