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A quick response to Tim Cook and Steve Ballmer

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I just read this article: http://bits.blogs.nytimes.com/2013/04/23/why-tim-cook-is-like-steve-ballmer/
For those of you who can’t be bothered clicking the link and reading through it, here’s the gist:

  • Cook and Ballmer both get criticised for poor stock performance of Apple and Microsoft respectively
  • Both companies actually have significantly increased revenue and profit during the tenure of Tim and Steve

 Here’s my immediate reaction to this

  • Stock price is only partially controlled by company performance
  • Both companies are often in the press, both positive and negative often somewhat based on sentiment (no press is objective…and that’s coming from a guy who works at a tabloid…) 
  • Given the fact they are well known they will usually also attract small mom&pop “investors” who tend to be a bit more susceptible to influence from press rather than financial fundamentals

Something to think about….


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