Investors Thursday had a muted reaction to news that Steve Jobs has resigned as chief executive of Apple, sending the high-flying shares down less than 1 percent.
Analysts said that while the timing of the announcement was a shock, they had expected the news for some time since Jobs took an extended medical leave in January.
Interim CEO Tim Cook was immediately elevated the position permanently, executing on a long-planned transition process that was well-communicated to the investment community.
“In our view Tim (Cook) is a tough but well-regarded leader who will continue to hold Apple employees to an extremely high standard of performance,” Richard Gardner of Citigroup wrote in a note to clients.
Cook sent a note to employees Thursday in which he promised to protect the company’s “unique principles and values.”
“Steve built a company and culture that is unlike any other in the world and we are going to stay true to that — it is in our DNA,” he said in the letter, which was published on several web sites,
He also said he was “looking forward to Steve’s ongoing guidance and inspiration as our chairman.”
Apple stock was down just $4 or less than 1 percent in midday trading, which represented a recovery from after-hours trading Wednesday, when it was down more than 5 percent. Apple announced Jobs’ resignation late Wednesday.
“Investors are coming to the realization that this is a natural transition. It may have already been built into Apple’s valuation,” said Hendi Susanto, a Gabelli & Co analyst.
Apple customers predicted the company would remain strong and popular.
“Although he’s the face of the company, there will still be lines outside the store,” said Ira Rovitz, 49, of New York, as he played with an iPad after emerging from the Manhattan Apple store Thursday morning.
Executives from across the technology industry paid tribute Thursday to Jobs’ monumental influence and inspiration.
“Steve Jobs has changed people’s lives immensely with the vision he has had, the risks he had taken, the products he has designed, and the industries he has shaken,” said Bill Gross, the CEO and chairman of Idealab, a firm that funds technology startups.
Â
Â
