Skip to main content

Apple Inc.’s iPhone 7 and its 10 Flashy Features Won’t Move AAPL Stock

By U.S. News & World Report

Investors weren’t expecting anything mindblowing from Apple Inc. (AAPL) and its newest iteration of the iPhone, the iPhone 7. That’s good, because mind blowing it was not. The event was revealing in one way, though: it showed just how low Apple has set the bar for itself.

Leading up to Wednesday’s event, the biggest grist for the rumor mill was the chatter that the iPhone 7 would be doing away with the headphone jack altogether. The Cupertino, California-based Apple was also rumored to be improving the phone’s camera.

Both of those things happened.

[See: 6 Reliable Dividend Stocks Paying Out for 100 Years or More.]

Apple shares, which were off 1.4 percent in the last year, were almost entirely unchanged during the event.

That said, the iPhone still makes up well over 50 percent of AAPL’s overall revenue, so all eyes were rightfully on the Wednesday presentation, as investors hoped for something groundbreaking.

CEO Tim Cook called the iPhone 7 “the best iPhone that we have ever created,” which may be true, but doesn’t say much, as technology has a way of improving over time.

Chief Design Officer Jony Ive waxed romantic about the aesthetic of the new iPhone, which is sleeker and smoother than any of its predecessors.

The company spent quite a lot of time outlining the phone’s 10 signature features, none of which seemed to dazzle AAPL investors.

Design. The iPhone 7 boasts a new finish called “Jet Black.” Black, Gold, Silver and Rose Gold are also available.

Home button. It’s customizable now. Apple exec Phil Schiller compared it to the iPod, which was originally a click-wheel before becoming electrostatic. It’s now “force-sensitive” and more responsive.

Water and dust resistant. This required “new seals and new adhesives … the least coordinated among us don’t have to worry,” says Schiller, unveiling what some might think of as the most useful of the 10 highlighted phone features.

Camera. “Perhaps the most beloved feature.” Features: Optical image stabilizer, wider lens that lets 50 percent more light in; 12 megapixel sensor; 60 percent faster and 30 percent more energy efficient. The image signal processor has twice the throughput — it sets exposure, color with white balance, and performs 100 billion operations every time you take a picture. Seven megapixel front camera, up from 5 megapixels, for today’s selfie-obsessed customers. Zoom features were also highlighted.

[See: The Perfect 10 Shares.]

Retina HD display. It’s 25 percent brighter, wide color gamut, and 3D-Touch capable. Instagram was given as an example of an app that made use of these new features.

Speakers. Stereo speakers for the first time ever, one is at the bottom and one is at the top.

EarPods. EarPods will now be connected over Lightning instead of the headphone jack. Headphones will be included with iPhones. There will be a lightning-to-mini phono adapter included as well. Apple touted its own “courage” as the main reason for switching over to the new jack-less system.

Wireless. “Makes no sense to tether ourselves with cables to our mobile devices.” A new product from Apple, Apple AirPods, were debuted. They only play when you’re ready to listen, and recognize when you’re speaking and reduce external noise. AirPods also connect to the Apple Watch, using the iCloud to set you up with all your Apple devices; no pairing or unpairing required.

Apple Pay. Controls over 90 percent of wireless payment market in the U.S., and Apple plans to expand and improve globally.

Performance. The A10 Fusion chip is a four-core CPUl; the chip is now 120 times faster than the original iPhone. The chip will prioritize processes for better battery life, performance, games and graphics.

All in all, for Apple, whose iconic CEO Steve Jobs was famous for fostering a “reality distortion field” that made seemingly impossible advances in technology the norm for Apple and its engineers, Wednesday’s event was a sad state of affairs.

Case in hand: Before the iPhone 7 was revealed, Apple bragged about Pokemon Go coming to the Apple Watch. The fact that any time at all was devoted to this is a sad commentary on what passes for meaningful at Apple these days.

To give some idea of how devastatingly unexciting that is, imagine this: On one day in 2007, Steve Jobs announced the Apple TV, the iPhone, and that the company was dropping the “Computer” from Apple Computer entirely.

But hey, Pokemon Go is en vogue, right?

In addition to the iPhone 7 and 7 Plus, Apple unveiled a few new Apple Watch models, including a partnership with Nike (NKE) that uses data and motivational techniques to get you up and exercising. The Apple Watch Series 2 and Apple Watch Nike Plus both start at $369, while the Apple Watch Series 1 starts at $269.

[See: 8 Tech Funds to Buy to Invest in the Future.]

At the end of the day, AAPL stock didn’t move much, despite all the grandiose statements about how great the iPhone 7 was and how unprecedented its features were. Many customers will likely not be happy with the move to the jack-less phone, meaning investors may need to possess some courage of their own if they want to hold Apple stock far into the future.

More from U.S. News

10 Ways to Invest in Pharmaceuticals With ETFs

8 Stocks to Buy For a Starter Portfolio

The 10 Best Ways to Buy Tech Stocks

Apple Inc.’s iPhone 7 and its 10 Flashy Features Won’t Move AAPL Stock originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
Read Next Story

Related News

Frustration grows in Venezuela as earthquake death toll reaches 1,430

Israel and Lebanon sign framework agreement with US in ‘first step’ toward peace, Rubio says

Trump-endorsed populist poised to become Colombia’s next president as rival challenges vote