Please ensure Javascript is enabled for purposes of website accessibility

A Fool Looks Back

By Rick Munarriz - Apr 13, 2013 at 7:15AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

A lot happened this past week. Let's review.

There were just 76.3 million PCs shipped worldwide during the first three months of the year, according to industry watcher IDC. That's the sharpest year-over-year decline that IDC has witnessed since it began tracking quarterly shipping trends 19 years ago. The low volume of desktops and laptops finds the PC industry back at 2006 levels.

Everyone knows what's happening. Smartphones and tablets are taking over. Apps and cloud-based solutions are making it less necessary to be tethered to a PC. This is terrible news for Microsoft (MSFT 1.55%), so it wasn't a surprise to see Goldman Sachs downgrade Mr. Softy shortly after the IDC report.

There will always be a market for PCs; it will probably just continue to shrink indefinitely. This is a market that was ripe for disruption. Most people don't need the processing power packed into laptops, and the lack of desktop portability makes it less practical in these mobile times we live in.

Briefly in the news
And now let's take a quick look at some of the other stories that shaped our week.

  • Rite Aid (RAD 3.04%) soared after posting its first quarterly profit in six years. There were a few one-time benefits padding those results, and comps clocked in with a 2% decline, but the end result is that the drugstore chain continues to improve its operations.
  • Alcoa (AA) kicked off the week by posting a surprising increase in adjusted profitability. Analysts figured that the aluminum giant would be posting a decline on the bottom line.
  • Reports surface this week, indicating that Apple (AAPL 1.78%) is in talks with Yahoo! (NASDAQ: YHOO) to expand Yahoo!'s presence on Apple devices. Yahoo! already provides the default weather and stock quote applications for iOS gadgetry. You'll know a deal's in place when Apple adopts the exclamation point at the end of its name.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Apple Inc. Stock Quote
Apple Inc.
AAPL
$148.13 (1.78%) $2.59
Microsoft Corporation Stock Quote
Microsoft Corporation
MSFT
$265.55 (1.55%) $4.05
Alcoa Inc. Stock Quote
Alcoa Inc.
AA
Rite Aid Corporation Stock Quote
Rite Aid Corporation
RAD
$5.93 (3.04%) $0.17

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
338%
 
S&P 500 Returns
119%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/17/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.