or Connect
AppleInsider › Forums › General › General Discussion › Strong Mac, iPhone sales projected to propel Apple stock to $280
New Posts  All Forums:Forum Nav:

Strong Mac, iPhone sales projected to propel Apple stock to $280

post #1 of 98
Thread Starter 
Stronger-than-expected Mac and iPhone sales in the last two quarters and the impending launch of the iPad have led Needham & Company to raise its price target on Apple stock to $280.

Analyst Charlie Wolf said in a note to investors Friday the increase from $235 is because the trajectory of Mac and iPhone sales were "materially higher" in the last two quarters than Needham had forecast. He also expects the iPad to make a "material contribution" to the company.

Another factor in Apple's projected success: its massive amount of cash. The company revealed during its last quarterly earnings conference call that it had $39.8 billion at the end of the December quarter, an increase of $5 billion from the previous quarter.

And while Mac sales have been strong, Wolf said they could become even better, because Apple is currently a small fish in a large pond. With just 4 percent of the total personal computer market, the iPhone and iPod "halo" effect could lead to significant growth for the Mac platform in 2010.

Wolf believes Mac shipments will hit 24.9 million units annually by 2019. This would represent a projected worldwide marketshare increase from 4 percent today to 4.4 percent in a decade.

He also said that Apple's share of the U.S. smartphone market would likely become "significantly higher" than 30 percent if Apple were to make a CDMA-capable model that could run on the Verizon network, the largest wireless provider in the U.S. Given overseas expansion, Wolf expects the iPhone will see its marketshare increase more internationally than in the U.S.

As for the iPad, Wolf sees great potential for it with existing iPhone and iPod touch users, and within the healthcare and education industries.

"Although the iPad could cannibalize some Mac sales, it has the potential to significantly increase Apple's share of the K-12 market," he wrote. "The iPad should also prove popular as an interactive textbook reader in the higher education market where there are 17 million students.



Wolf previously predicted that the iPad would sell 2 million in 2010, but he expects sales to increase sharply once a "catalyst" for sales emerges. That same catalyst for the iPod was the iTunes Music Store, while the iPhone's sales spark came from the App Store. Most on Wall Street expect the iPad to sell between 1 million and 5 million in its first year.

Wolf has forecast the iPad to sell a "likely conservative" 20 million annually in 10 years, contributing $9.93 earnings per share to Apple's value. But, he admitted, valuing the iPad is an "exercise in futility" as the hardware will not be on sale until the end of March.
post #2 of 98
I doubt it will get that high.
post #3 of 98
Quote:
Originally Posted by ghostface147 View Post

I doubt it will get that high.

I doubt it will be that low.
post #4 of 98
Quote:
But, he admitted, valuing the iPad is an "exercise in futility" as the hardware will not be on sale until the end of March.

So by his own admission we can pretty much ignore him on iPad figures, then.
My Android phone is the worst phone I've ever owned.
Reply
My Android phone is the worst phone I've ever owned.
Reply
post #5 of 98
Quote:
Originally Posted by knightlie View Post

So by his own admission we can pretty much ignore him on iPad figures, then.

At least until it ships, yes.
PC Gamer, Musician, Mac Geek. | Jerion.us
Reply
PC Gamer, Musician, Mac Geek. | Jerion.us
Reply
post #6 of 98
My bet is that Apple sell twice as many iPad's as they currently sell Mac's, within 5 years.
post #7 of 98
Quote:
Originally Posted by AppleInsider View Post


"Although the iPad could cannibalize some Mac sales,
.

Yes, the iPad will cannibalize some Mac and iPod Touch Sales, but much more importantly, it will steal significant market share from M$, especially from the netbook category.
post #8 of 98
Quote:
Originally Posted by monstrosity View Post

My bet is that Apple sell twice as many iPad's as they currently sell Mac's, within 5 years.

Are you saying it will bleed Mac sales?
post #9 of 98
$280 by when?
And how long has it been under $200?
post #10 of 98
Quote:
Originally Posted by AppleInsider View Post


Wolf has forecast the iPad to sell a "likely conservative" 20 million annually in 10 years, contributing $9.93 earnings per share to Apple's value. But, he admitted, valuing the iPad is an "exercise in futility" as the hardware will not be on sale until the end of March.

You mean "....$9.93 earnings per share to Apple's aggregate EPS during this period." (Although the aggregate EPS is somewhat of a meaningless metric, that is the only comparison that makes sense).
post #11 of 98
Quote:
Originally Posted by TEKSTUD View Post

$280 by when?
And how long has it been under $200?

1) February 30, 2011.

2) For almost its entire existence as a stock.
post #12 of 98
Quote:
Originally Posted by anantksundaram View Post

1) February 30, 2011.

2) For almost its entire existence as a stock.

OMG- you actually have a sense of humor?
post #13 of 98
Quote:
Originally Posted by TEKSTUD View Post

Are you saying it will bleed Mac sales?

There will be cannibalisation, but the extra hype that the iPad creates will equate to even more mac sales. So it will cancel out.

eg a few of my friends will not bother buying a macbook and will instead choose an iPad
on the flip, the few remaining PC users that I know are now taking the plunge to Apple's ecosystem and buying an iPad. I have no doubt that once the tasty fruits have been savoured, a large percentage will go on to ditch their PC's altogether and buy mac.
post #14 of 98
Quote:
Originally Posted by monstrosity View Post

There will be cannibalisation, but the extra hype that the iPad creates will equate to even more mac sales. So it will cancel out.

Those are some rosy colored glasses you are wearing this morning. That sounds more like $380.
post #15 of 98
Quote:
Originally Posted by monstrosity View Post

There will be cannibalisation, but the extra hype that the iPad creates will equate to even more mac sales. So it will cancel out.

eg a few of my friends will not bother buying a macbook and will instead choose an iPad
on the flip, the few remaining PC users that I know are now taking the plunge to Apple's ecosystem and buying an iPad. I have no doubt that once the tasty fruits have been savoured, a large percentage will go on to ditch their PC's altogether and buy mac.

You are right.

I was originally considering a MacBook Air for home and on the go use. Now I'll get an iPad for mobile use, and get a Mac mini for home use. Both will cost me less than the MacBook Air.

iPod nano 5th Gen 8GB Orange, iPad 3rd Gen WiFi 32GB White
MacBook Pro 15" Core i7 2.66GHz 8GB RAM 120GB Intel 320M
Mac mini Core 2 Duo 2.4GHz 8GB RAM, iPhone 5 32GB Black

Reply

iPod nano 5th Gen 8GB Orange, iPad 3rd Gen WiFi 32GB White
MacBook Pro 15" Core i7 2.66GHz 8GB RAM 120GB Intel 320M
Mac mini Core 2 Duo 2.4GHz 8GB RAM, iPhone 5 32GB Black

Reply
post #16 of 98
Quote:
Originally Posted by monstrosity View Post

eg a few of my friends will not bother buying a macbook and will instead choose an iPad
on the flip, the few remaining PC users that I know are now taking the plunge to Apple's ecosystem and buying an iPad. I have no doubt that once the tasty fruits have been savoured, a large percentage will go on to ditch their PC's altogether and buy mac.

You know, I've been thinking (no laughs please) and I think the iPad will do amazing business with those over 60 who aren't technologicaly inclined. You could buy your parents/granparents an iPad , pay for their 3G contract and they would be good to go. And once they can print easily from them it will be instoppable. Imagine the peer pressure in places like Florida.
post #17 of 98
Quote:
Originally Posted by Aizmov View Post

You are right.

I was originally considering a MacBook Air for home and on the go use. Now I'll get an iPad for mobile use, and get a Mac mini for home use. Both will cost me less than the MacBook Air.

Will you get a 3G version?
post #18 of 98
Quote:
Originally Posted by TEKSTUD View Post

Will you get a 3G version?

Yes.
And don't play on me that $30 * 24 = OMG it is expensive!

I would have gotten a 3G USB for the MacBook Air. I NEED on the go Internet.

iPod nano 5th Gen 8GB Orange, iPad 3rd Gen WiFi 32GB White
MacBook Pro 15" Core i7 2.66GHz 8GB RAM 120GB Intel 320M
Mac mini Core 2 Duo 2.4GHz 8GB RAM, iPhone 5 32GB Black

Reply

iPod nano 5th Gen 8GB Orange, iPad 3rd Gen WiFi 32GB White
MacBook Pro 15" Core i7 2.66GHz 8GB RAM 120GB Intel 320M
Mac mini Core 2 Duo 2.4GHz 8GB RAM, iPhone 5 32GB Black

Reply
post #19 of 98
Quote:
Originally Posted by extremeskater View Post

Do you feel an iPad will suit your needs if you were considering a Macbook Air? You are going from a product that is a fully functioning system to something that runs the iPhone OS. From a dual core system to something less powerful then a netbook. And from a 13.3 inch screen to a 9.7. Just to name a few differences. You also won't be able to multitask and depending on what iworks looks like for the iPad you might not even have a full version of an office suite.

Honestly just asking because that seem like a fairly big step down.

Not speaking for him, but I could see why many people would: the price difference.

Moreover, I see the iPad's success as not a substitute, but as a complement.
post #20 of 98
Quote:
Originally Posted by extremeskater View Post

Do you feel an iPad will suit your needs if you were considering a Macbook Air? You are going from a product that is a fully functioning system to something that runs the iPhone OS. From a dual core system to something less powerful then a netbook. And from a 13.3 inch screen to a 9.7. Just to name a few differences. You also won't be able to multitask and depending on what iworks looks like for the iPad you might not even have a full version of an office suite.

Honestly just asking because that seem like a fairly big step down.

As I said I'll be also getting a Mac mini.

Here the many reasons I decided to go for an iPad instead of a MacBook Air:
  1. Weighs 50% less
  2. 2x the battery life
  3. More portable
  4. Boots in under 15 seconds
  5. Easier to use when on the bus

I understand what I'm sacrificing and they don't bother me.

iPod nano 5th Gen 8GB Orange, iPad 3rd Gen WiFi 32GB White
MacBook Pro 15" Core i7 2.66GHz 8GB RAM 120GB Intel 320M
Mac mini Core 2 Duo 2.4GHz 8GB RAM, iPhone 5 32GB Black

Reply

iPod nano 5th Gen 8GB Orange, iPad 3rd Gen WiFi 32GB White
MacBook Pro 15" Core i7 2.66GHz 8GB RAM 120GB Intel 320M
Mac mini Core 2 Duo 2.4GHz 8GB RAM, iPhone 5 32GB Black

Reply
post #21 of 98
Quote:
Originally Posted by extremeskater View Post

Do you feel an iPad will suit your needs if you were considering a Macbook Air? You are going from a product that is a fully functioning system to something that runs the iPhone OS. From a dual core system to something less powerful then a netbook. And from a 13.3 inch screen to a 9.7. Just to name a few differences. You also won't be able to multitask and depending on what iworks looks like for the iPad you might not even have a full version of an office suite.

Honestly just asking because that seem like a fairly big step down.

Also not speaking for him, sometimes less is more. Specifically, when there are a bunch of features that I don't use, whether in an OS X laptop or M$ Word or a VCR, these extra features actually detract from the user experience and from those features that I do use. Apple helps people focus by leaving things out. Just as there are plenty of people who only use 10% of M$ Word, there are plenty of people who only use %10 of a laptop's capabilities. The iPad addresses this market beautifully.

The iPad doesn't pretend to be a general purpose computer, it doesn't want to be a general purpose computer, so it's rather silly to criticize it for not being one. Those people who need general purpose computers should buy one, but they shouldn't assume that everybody else also needs all the capabilities and associated complexity of a general purpose computer.
post #22 of 98
Quote:
Originally Posted by TEKSTUD View Post

You know, I've been thinking (no laughs please) and I think the iPad will do amazing business with those over 60 who aren't technologicaly inclined. You could buy your parents/granparents an iPad , pay for their 3G contract and they would be good to go. And once they can print easily from them it will be instoppable. Imagine the peer pressure in places like Florida.


haha funny you say that, I'm thinking of buying one for my mum who is 65 and has never touched a computer in her life.

Another one of my friends who has never touched a computer EVER is also buying an iPad. Thats an astonishing feat, honestly this girl is prehistoric, and even she wants one.
post #23 of 98
Quote:
Originally Posted by AppleInsider View Post

"Although the iPad could cannibalize some Mac sales, it has the potential to significantly increase Apple's share of the K-12 market," he wrote. "The iPad should also prove popular as an interactive textbook reader in the higher education market where there are 17 million students.

What won't happen is the iPad cannibalizing Mac sales.

What he doesn't realize is that the iPad, iPhone, and iPod all support the sale of a Mac. They do not replace a Mac, they are complementary. If anything, they require the person to buy a Mac.

Thus the iPad would accelerate Mac sales.

For every iPad sold, there is going to be an increase in Mac sales.
post #24 of 98
Quote:
Originally Posted by ghostface147 View Post

I doubt it will get that high.

In the next year or ever?


Quote:
Originally Posted by monstrosity View Post

My bet is that Apple sell twice as many iPad's as they currently sell Mac's, within 5 years.

I think that is very likely, even much sooner. It is half the price as a MB. What's Apple estimate for the first year? 4M? That is what Mac sales will likely be at by the holidays.


Quote:
Originally Posted by extremeskater View Post

They were predicting it would be at 250-270 three months ago and all it has done is go down. As low as 192 in the last three months. Its still under 200 it will stay close to that if not lower. Apple is following the market trend and will continue to do so. Everyday the Nasdaq is up, Apple is up, everyday its down Apple follows.

This is the first time I've seen you admit that the market as a whole affects the stocks. Tech stocks tend to act react quickly to market changes. If the market booms this year we could easily see a 40% increase in a year for Apple. Note that they went from about $85 to $210 in the last year while the NASDAQ has less than doubled in that same time frame.


Quote:
Originally Posted by Aizmov View Post

Yes.
And don't play on me that $30 * 24 = OMG it is expensive!

I would have gotten a 3G USB for the MacBook Air. I NEED on the go Internet.

I really wold love a 3G card option in Mac notebooks. At least in the MBA. This device screaming for it
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
post #25 of 98
Quote:
Quote:
Originally Posted by monstrosity
My bet is that Apple sell twice as many iPad's as they currently sell Mac's, within 5 years.

Are you saying it will bleed Mac sales?

The impact the iPad will have on sales is very difficult to judge. You will still need a computer to back it up I assume? As well as to update system software. With the limited (and volitile) memory no one will have one of these without some form of main CPU.

I would guess it will decrease notebook sales a good bit (really makes the macbook airs already small market niche virtually disappear), but might encourage a large increase in desktop sales or shift to the heavy end of the notebook realm (i.e. less macbooks 13s and alot more macbook pro 17s).

Not that they have any qualms about being wildly wrong, but I would hate to be an analyst trying to handicap this thing.
post #26 of 98
That target price chart is a sick joke for Apple. Every time Apple stock got upgraded it went down, down and down. Same thing happened today. It appears that Apple stock may have an artificial ceiling of about $200 a share. Although it did touch $215 a share briefly this year and then quickly slid down again below $200 . I'll give it some allowance since the DJIA lost about 400 points over that time. Considering how far down the DJIA has dropped since December 2007, I guess Apple has fared relatively well.
post #27 of 98
Quote:
Originally Posted by extremeskater View Post

I am fairly certainly I have posted that a good bit on this forum when projections like this are made.

I have said many times the reality of the market is there is no reality...lol. Everything is based on perception. Steve Jobs could get a cold and Apple stock could drop 10 points. Its that crazy at times and makes no sense.

With as well as Apple is doing in a good economy their stock could hit these targets but not with the market in this state of panic all the time. Apple like most are a victim of the market right now.

For maybe the first time ever I agree with you, about the unreality of stock valuation -- in the short to medium term, anyway. Looking for logic in the markets is (to borrow the term) an exercise in futility. But in the end, and over the long haul, earnings will out over emotions, and stocks tend to be priced, in some way, on EPS.

Now, all that being said, AAPL's P/E has been in substantial decline for the last couple of years, meaning that the stock price has been flat even as earnings have soared. If AAPL was selling for the same P/E today as it was two years ago, the stock would already be at around $400. The aggregated P/E for the markets as a whole have also declined a lot during this time period, but not that much.

Good luck trying to figure out what the markets are saying collectively. AlI I can say based on the numbers is that AAPL could easily be at $280 if market sentiments changed significantly, if only because that would only return AAPL's P/E to something closer to but still below its recent average.
Please don't be insane.
Reply
Please don't be insane.
Reply
post #28 of 98
Quote:
I was originally considering a MacBook Air for home and on the go use. Now I'll get an iPad for mobile use, and get a Mac mini for home use. Both will cost me less than the MacBook Air.

Quote:
Do you feel an iPad will suit your needs if you were considering a Macbook Air? You are going from a product that is a fully functioning system to something that runs the iPhone OS. From a dual core system to something less powerful then a netbook. And from a 13.3 inch screen to a 9.7. Just to name a few differences. You also won't be able to multitask and depending on what iworks looks like for the iPad you might not even have a full version of an office suite.

I think the second above quoted post, in response to the first, sums up perfectly the mindset of those who just don't understand what the iPad is, as well as where and how it will fit into peoples lives.

Most people don't need a laptop (used in the broad sense of including all portable devices with a hinged screen and keyboard, so including MBAs, MBPs, traditional PC laptops and netbooks) when they are "mobile". We already see this with the number of people who have laptops but mostly leave them at home and use smartphones to do the things they need to do. Very few people actually need the functionality a laptop provides when away from home and work. Even fewer people (perhaps none) need the functionality of a laptop in the living room or kitchen (assuming for the sake of argument that the desk/table/whatever where they do the bulk of their "serious" computing is not located in one of those rooms in their home). The very few people who do need this functionality are that tiny minority of relatively mobile content creators: writers, programmers, graphic artists, etc. who are either often "on the road" or for whom the ability to do creative work anywhere, at any time, is critical.

For everyone else, hauling a laptop around, or, I should say, having to haul a heavy, bulky, awkward-to-use-without-a-desk-or-table-top laptop around is entirely disadvantageous. A smartphone that fits in your pocket is the ultimate in convenience and portability, but the relatively tiny screen size makes these far less than ideal in all situations. A touch tablet overcomes the disadvantages of both of these and, for the type of computing that the vast majority of users do when not at home, has few, if any disadvantages.

A touch tablet also frees the user from being chained to a flat work surface, so it's perfect for web browsing, checking email, sketching, reading, etc. from the comfort of your couch or for consulting a recipe in the kitchen, or reading the New York Times at a coffee shop. The iPad is the embodiment of casual, ubiquitous, natural computing: so natural and simple that the computer effectively disappears.

With an iPad you aren't really giving up any functionality, because you weren't using that functionality anyway. In other words, with a laptop, most people are just hauling this cumbersome device around to do exactly what an iPad is designed to do without the inconveniences of a laptop.

For some people -- people who either don't own a computer now, or who own one but never use but for web surfing and maybe email -- an iPad may be all they need. For those who do need to "do serious work" on a computer, it makes much more sense to have a "desktop" with a large screen (or screens) that maximizes productivity on their desk at home and in the office, and an iPad for use around and outside the house, as well as for professionals who do not work in a traditional office environment, but are frequently not at desks -- e.g., doctors and (laboratory) scientists.

The laptop has had a good run, but I think its popularity is coming to an end. But, although many people will buy iPads instead of laptops, most of those people will also buy desktops. So while the iPad may appear to cannibalize laptop sales, it will actually be shifting those sales to dual form factors of desktop and tablet, because this combination maximizes both productivity and convenience.

Those comparing iPads to laptops simply don't understand what the iPad is, nor what a laptop is.
post #29 of 98
Quote:
Originally Posted by extremeskater View Post

Thats why I was asking because he was going to use the iPad as a substitute going from a Macbook Air to the iPad. Seems like a pretty big drop. The iPad meets my needs in alot of ways as an addon but I really don't want something that can't multitask. I know that has been brought up alot and it the term is getting old but for me right now it would keep me from getting one. I am hoping iPhone 4.0 will address that issue. I also believe the 16GB version isn't going to last long at all and the 32GB will drop to 499.00 fairly fast. Not that I really see 100.00 for double the storage as being all that much.

I agree about multitasking. That would be a deal-breaking attribute for me.

Flash, webcam, etc are somewhat unimportant to me.
post #30 of 98
Every time when some analysts started bulling the target price on AAPL, you know it's about time to retreat. The next 52-week high maybe after 2011. AAPL would look more attractive when it dips to 2- digit range.
post #31 of 98
Quote:
Originally Posted by extremeskater View Post

Do you feel an iPad will suit your needs if you were considering a Macbook Air? You are going from a product that is a fully functioning system to something that runs the iPhone OS. From a dual core system to something less powerful then a netbook. And from a 13.3 inch screen to a 9.7. Just to name a few differences. You also won't be able to multitask and depending on what iworks looks like for the iPad you might not even have a full version of an office suite.

Honestly just asking because that seem like a fairly big step down.

I believe current skeptics will think much differently in 6-12 months when we'll understand more of how functional this iPad truly is. I predict it'll meet and/or surpass the functionality of most laptops within 12 months. Just wait. Though it's hard to see at this point in time, the iPad has HUGE potential.
post #32 of 98
Quote:
Originally Posted by extremeskater View Post

Everytime Obama opens his mouth I know my 401k is going to drop..lol

SOOOO True! \
post #33 of 98
Quote:
Originally Posted by extremeskater View Post

I agree if the Apple had reported these earnings and sales when the market was at 14,000, not sure what the Nasdaq was at the stock would have jumped a good bit. The market is just flat as hell right now because of the uncertainty of the US government. Everytime Obama opens his mouth I know my 401k is going to drop..lol

We've been through economic hell and haven't come back again. The result is declining P/E overall, which is a general measure of investor confidence in future growth in profits, which is hardly going to be bullish considering what we've been through. A couple of years ago the high P/E of the standard indexes had the chart watchers worried, as it always does. I believe AAPL touched 50 times earnings at one point, or very close, which is extremely bullish and probably unsustainable. The irony for AAPL is that they've been able to continue to grow earnings strongly even through the recession, which hasn't been reflected at all in the stock price. The result is a relatively bearish P/E which could be interpreted as a lack of investor confidence in Apple's ability to sustain their recent growth. I'd prefer to think otherwise, but probably at least in part because I've got quite a bit on the line. Time will tell, as it always does.

Please cut the politics -- they have no place in this discussion.
Please don't be insane.
Reply
Please don't be insane.
Reply
post #34 of 98
Quote:
Originally Posted by Smurfman View Post

I believe current skeptics will think much differently in 6-12 months when we'll understand more of how functional this iPad truly is. I predict it'll meet and/or surpass the functionality of most laptops within 12 months. Just wait. Though it's hard to see at this point in time, the iPad has HUGE potential.

I think it'll be a huge success for the tablet market and that there is HUGE potential for the device, but I don't see it meeting or surpassing the functionality of most laptops.

So far, the device is positioned only as an accessory device to a proper PC. It requires syncing to iTunes to get media and to back up. No connecting an iPhone or iPod to it to sync and save media, expect for maybe images. No option to use an external HDD for more storage. The apps are Photos and iPod, not iPhoto and iTunes.

All the parts are there so this could change quickly, and perhaps that is what you meant, but I have to consider that Apple may not want a $500 device cannibalizing their MacBook and MacBook Pro sales. I think it could be a trojan horse entry that would push more people into buying Macs, but they might not see it that way, at least not right away.
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
post #35 of 98
Quote:
Originally Posted by HFU View Post

Every time when some analysts started bulling the target price on AAPL, you know it's about time to retreat. The next 52-week high maybe after 2011. AAPL would look more attractive when it dips to 2- digit range.

haha... that was a joke right? I doubt you will ever see 2 digits ever again short of nuclear war.
post #36 of 98
Quote:
Originally Posted by Dr Millmoss View Post

We've been through economic hell and haven't come back again. The result is declining P/E overall, which is a general measure of investor confidence in future growth in profits, which is hardly going to be bullish considering what we've been through. A couple of years ago the high P/E of the standard indexes had the chart watchers worried, as it always does. I believe AAPL touched 50 times earnings at one point, or very close, which is extremely bullish and probably unsustainable. The irony for AAPL is that they've been able to continue to grow earnings strongly even through the recession, which hasn't been reflected at all in the stock price. The result is a relatively bearish P/E which could be interpreted as a lack of investor confidence in Apple's ability to sustain their recent growth. I'd prefer to think otherwise, but probably at least in part because I've got quite a bit on the line. Time will tell, as it always does.

Please cut the politics -- they have no place in this discussion.

Correct me if I'm wrong, but I believe that outside of Apple and Google, there are very few companies with such large market capitalization as well as high P/Es. It's natural that things can't be so volatile and speculative as they get so big. As for me, with a large part of my net worth in Apple, I'm happy their P/E is declining while the E is steadily increasing; it makes my investment safer even if it isn't growing. I expect their P and their E to continue to increase over the long run, while their P/E should steadily decrease.
post #37 of 98
Quote:
Originally Posted by extremeskater View Post

I agree. I don't see myself having a need to do a video conference using the iPad. Cameras and webcams in general are fairly useless to me. I'm not sure I have ever even used my webcam on my MBP.

You looking to get an iPad farily soon after its released or are you going to wait it out a bit?

Impatience usually trumps logic in these matters. But, (i) as a happy shareholder with lots of profits from AAPL's gains this past year, happy to give a little back to the company; (ii) with lots of Apple gift cards lying around (although not enough for the 64GB w/3G); (iii) with the hope that multitasking will result from a software fix in the future; and (iv) with the possibility that the kids are getting to a stage where this can serve as a substitute for a laptop (i.e., get the next gen when it comes out cheaper/faster/more functional/etc/etc next year)......

....I think I will buy two!
post #38 of 98
Quote:
Originally Posted by monstrosity View Post

haha... that was a joke right? I doubt you will ever see 2 digits ever again short of nuclear war.

We can always hope.

Quote:
Originally Posted by delreyjones View Post

Correct me if I'm wrong, but I believe that outside of Apple and Google, there are very few companies with such large market capitalization as well as high P/Es. It's natural that things can't be so volatile and speculative as they get so big. As for me, with a large part of my net worth in Apple, I'm happy their P/E is declining while the E is steadily increasing; it makes my investment safer even if it isn't growing. I expect their P and their E to continue to increase over the long run, while their P/E should steadily decrease.

Apple certainly is a very large company but I don't see any direct connection between that fact and their potential for growth. Some say the rule of large numbers applies, but personally I think that's an over-simplification.

As an investor, you never want to see a declining P/E for a stock you own. That's the market saying that profit growth rates are on the decline, and growing profits is the name of the game. Lowered expectations are not really making your investment safer, only less valuable.
Please don't be insane.
Reply
Please don't be insane.
Reply
post #39 of 98
For Apple, there's no other way to go but UP
post #40 of 98
Quote:
Originally Posted by Aizmov View Post

I was originally considering a MacBook Air for home and on the go use. Now I'll get an iPad for mobile use, and get a Mac mini for home use. Both will cost me less than the MacBook Air.

I may end up going the same way. I currently have a MacBook Pro at home and an iMac at work. I'm tired of messing around transferring files (Mobile Me is too small for all my audio and video), so I'm buying a Mini Server to store all my files. I will then be able to use my iMac and MacBook Pro on the same data files to avoid the logistics of keeping them synchronized.

I will be buying some iPads for work (for use in giving presentations at trade shows) and will try one at home. If Go To My PC works well enough on the iPad, I may not have much need for the MacBook Pro.

Quote:
Originally Posted by jameskatt2 View Post

What won't happen is the iPad cannibalizing Mac sales.

What he doesn't realize is that the iPad, iPhone, and iPod all support the sale of a Mac. They do not replace a Mac, they are complementary. If anything, they require the person to buy a Mac.

Thus the iPad would accelerate Mac sales.

For every iPad sold, there is going to be an increase in Mac sales.

That's ultimately going to be true. In the short run, people may still run the iPad via iTunes from their Windows PC (assuming that this continues to work). Ultimately, it will help to move them to Macs, but that's a slow process.

It is also true that SOME people may buy the iPad INSTEAD of a Mac. It would not work as well nor be as useful, but it might suit the needs of some users, so there's a chance of SOME lost sales, but I doubt if it will be significant.

Quote:
Originally Posted by anantksundaram View Post

I agree about multitasking. That would be a deal-breaking attribute for me.

Flash, webcam, etc are somewhat unimportant to me.

I've been asking for weeks and no one has explained WHAT multitasking you need. You can listen to music while you read a book. You can check your email while you browse the web. You can have push notifications tell you if you've received a text message while you're playing a game. Do you really expect to do more than that SIMULTANEOUSLY? Can you play a game at the same time as you browse the web? Can you read a book at the same time as you play a game? Keep in mind that you're not going to do heavy number crunching on this, so almost everything you do will be nearly instantaneous and task switching is also almost immediate.
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
New Posts  All Forums:Forum Nav:
  Return Home
  Back to Forum: General Discussion
AppleInsider › Forums › General › General Discussion › Strong Mac, iPhone sales projected to propel Apple stock to $280