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The Apple stock price today (Tuesday) fell more than 3.2%, continuing AAPL stock's two-week skid. Apple stock has now posted a loss in 10 of the last 11 trading sessions.
And while many investors are panicking over the Apple stock price's drop, we're still maintaining a bullish Apple stock price forecast.
That's because the Apple stock price's drop is due to unrealistic Wall Street expectations.
Since July 20, shares of Apple Inc. (Nasdaq: AAPL) stock have fallen 11.6% to $114.57. Before the swoon, shares topped out at $132.97 each.
During the Q3 earnings report on July 22, company officials announced that Apple sold 47.5 million iPhones in the quarter. That fell below the consensus estimate of 48.8 million. Â Some even more bullish estimates put sales in the 52 million to 53 million range.
While iPhone sales fell short of expectations, both EPS and revenue beat estimates. EPS came in at $1.85, which topped a projection of $1.81. Revenue of $49.6 billion beat the $49.4 billion estimate.
The company grew profit by 38% year over year, even taking into account share buybacks.
Those weren't the only bullish figures. Apple reported that revenue in China grew 112%, with iPhone sales growing 87% there.
AAPL's cash pile also grew to $203 billion, even as the company returned $13 billion to shareholders.
Money Morning Capital Wave Strategist Shah Gilani said the Apple stock sell-off following earnings was "ridiculous."
Here's why he's still extremely bullish...