Apple sees sales slump continuing, shares drop 2%

Apple forecast a sales slump would continue into the current quarter, sending shares down despite beating Wall Street sales and profit targets in the fiscal third quarter.

Apple shares dropped about 2% after the mixed results and outlook. Strength in services drove the profit beat in the third quarter, but weaker than expected sales of Apple’s most famous device, the iPhone, underwhelmed investors. Executives said iPhone sales would improve but did not say how much.