Apple falls 12% to drag US markets lower

Apple shares have fallen 12% at the start of US trading as investors took flight after the world's largest company reported weaker-than-expected iPhone sales.

Apple's interim results, issued after the market close on Wednesday, revealed Apple had shipped 47.8 million iPhones in its December quarter, a record number but below analysts' estimates of 50m. Quarterly earnings for the period were flat year-on-year, though earnings per share growth dipped for the first time in a decade. Some 14 brokerages subsequently cut price targets for Apple, by an average of $142 each to $599, according to Reuters. The company's shares, which pared losses shortly after the open but remained down 10% at $450, have now fallen over a third from their Q3 2012 ...