CNBC’s Jim Cramer is not backing down from his “own Apple, don’t trade it” maxim despite the stock’s drop after earnings, in which the iPhone maker said it would stop providing results for its individual products.
“Mad Money” and longtime Apple bull, said as Apple’s stock lost nearly 7 percent in after-hours trading.
“Apple’s ecosystem continues to grow,” he continued. “I accept that the stock is going to go lower, but remember, we just had 1000 Dow points that were worth capturing even if we get what I’m regarding as an undeserved crushing of the stock of Apple tomorrow.”
Cramer predicted that Apple’s slide could “cause a pause in the tech rally” on Friday, and that analysts would immediately downgrade the stock on what some saw as a muted forecast.
But he wouldn’t give up on “a stock that was up 30 percent coming in that reported an amazing number but was conservative and changed the way it’s breaking things down,” he told investors.
“Here’s what I say: I would still own it. I wouldn’t trade it,” the “Mad Money” host said. “This may be an opportunity, particularly if it goes under $200. For those who have never bought the stock, I would start nibbling. No need to be aggressive. The market, other than the last three days, hasn’t been all that welcoming of late.”
Apple’s fourth-quarter earnings report topped analysts’ estimates for earnings per share and revenue, while iPhone sales came in lighter than expected. The average selling price of the iPhone, however, was well above expectations.
WATCH: Cramer unpacks Thursday's rally, Apple earnings
Disclosure: Cramer’s charitable trust owns shares of Apple.
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