Steve Jobs stepped back into the spotlight for the first time in nearly a year yesterday, drawing a standing ovation before unveiling new and cheaper iPods for Apple.
But Apple's shares closed 1 per cent lower after hitting a year's high in the session. Analysts said they dipped because investors took profits after a steady run-up in the days before the event. One analyst also pointed to Jobs' appearance, saying the 54-year-old chief executive looked "frail”.
Dressed in his trademark black turtleneck and jeans, Jobs took the stage and thanked everyone in the Apple community for their "heartfelt support."
Mr Jobs, a pancreatic cancer survivor, spoke with characteristic passion about new products and dropped his signature line - "one more thing" - before introducing a new iPod nano with a video camera.
It was his first public appearance since returning to work in June after six months of medical leave, during which the charismatic corporate showman underwent a liver transplant.
"I now have the liver of a mid-20s person who died in a car crash and was generous enough to donate their organs. I wouldn't be here without such generosity," an emotional Jobs told the audience, urging them to all become organ donors.
"I feel great. I probably need to gain about 30 pounds, but I feel really good. I'm eating like crazy. A lot of ice cream," Jobs later told the New York Timesin a short interview.
Apple shares initially rose about 1 per cent to a year's high before retreating to close $1.79 lower, or 1 per cent, at $171.14 on Nasdaq.
"I'm sure (Jobs) looking so frail - the guy's had the most extreme surgery you can have - didn't help matters, but I think people have come to grips that the torch is going to be passed. It's just a matter of when," said Dave Rovelli, managing director of US equity trading at Canaccord Adams.
"The stock's had such an incredible move, I wouldn't read too much into it. It's probably just some profit taking."
Apple's stock has doubled this year, valuing the company at $155 billion - triple that of smartphone arch-foe Research in Motion - and second only to Microsoft's $221 billion among tech companies on the S&P 500.
Jobs started off by announcing a new version of Apple's popular online media store, iTunes, and updated software for the iPhone. He then unveiled new iPod features and colours, and announced price cuts for other models ahead of the crucial holiday season.
The audience at the event in San Francisco included Google chief executive Eric Schmidt, who recently stepped down from Apple's board amid increased scrutiny from regulators about the companies' ties.
Reuters