As 2017 wound to a close, Apple Inc. saw some market backlash after news broke that a software update was slowing down older iPhones, while shares of TiVo Corp. soared following a report that unnamed private equity firms were interested in buying the company.
Both companies ranked among the most active Nasdaq stocks Dec. 29, the last trading day of the year and of a shortened market week between holidays. TiVo shares gained over 11% on Dec. 29 after TheStreet reported early that day that the digital entertainment company had received "multiple expressions of interest" from private equity firms valuing the company at more than $20 a share, well above the $14 a share that the stock had closed at on Dec. 28. TiVo did not respond to TheStreet's requests for comment on the matter. Shares of TiVo closed Dec. 29 at $15.60.
Apple's stock had already started to pull back from a new 52-week high of $177.20 per share set Dec. 18 as reports about issues with software slowing down the iPhone 6 and earlier generations began to circulate just before Christmas. The shares dipped even lower as trading resumed after the holiday and several lawsuits about the iPhone performance issue were filed. On Dec. 28, the company issued an apology, saying the software was intended to help iPhone users avoid sudden shutdowns for phones with older batteries that were less suited to the newest iOS, and not to impede the performance of older phones.
Shares of Apple fell about 3% for the five trading days ended Dec. 29, with the steepest drop seen on the day after Christmas. Even so, 2017 was a banner year for the iPhone maker overall, which saw its share price gain nearly 50% over the last 12 months. The company's value crossed the $900 billion mark in November, leading several observers to predict that Apple would reach $1 trillion in market capitalization in 2018. Apple shares closed the year at $169.23 on Dec. 29.
Streaming media company Netflix Inc. saw its stock move higher during the week, with an upward spike on Dec. 28 after reports that Nielsen found 11 million people watched its new feature film, "Bright," starring Will Smith. Shares of the company ended Dec. 29 at $192.02, up about 2% over the last five trading days of 2017.
Meanwhile, AT&T Inc. shares were little moved by news that all 50 states, two territories and the District of Columbia had opted into a new nationwide public safety network that the company is building out with the First Responder Network Authority, or FirstNet. While most states chose to opt into the network weeks or even months before the Dec. 28 deadline to do so, a handful waited until the last day to decide. Notably, the governor of New Hampshire, who earlier said the state would pursue its own plan, changed course and decided to work with FirstNet.
Shares of AT&T closed Dec. 29 at $38.88, up less than 0.5% for the last five trading days of 2017.
