Jim Cramer Blog

After worries of a slowdown on AAPL's main source of income (the ipod), the shares of the stock dropped 6% on double than average sales volume. The obvious explanation for this story is, of course the sales of the Ipod are slowing down. During the lifespan of any product there is a meteoric rise for an unknown number of months, which can usually be controlled by the company's internal supply and demand numbers. For example, if you create too many items too quickly the supply of the product will outpace demand. After this rise, the sales of the product start to run on a plateau, with little or no growth. I believe AAPL's Ipod is about to take on this transition. But, this doesn't mean you should shy away from the stock. The 6% drop today is probably not the end, but the end of the week should present itself as a legitimate buying opportunity. I'm in on Friday.