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Apple Inc. retakes title as world's most valuable company following strong July

post #1 of 22
Thread Starter 
Apple on Thursday once again became the most valuable company in the world by market capitalization, pushing past Exxon Mobil as rumors of next-generation iPhones and iPads continue to heat up.

Stock
Chart via Google Finance.


Apple's market cap was around $414 billion during trading on Thursday, with the company's stock up as high as $456.80 in the morning session. Exxon, meanwhile, saw shares slide more than 2 percent during the morning, sending its market cap to around $408 billion, following a disappointing earnings report.

The change made Apple, at least temporarily, once again the most valuable company in the world by market cap. It's a title the company held throughout 2012, but ceded after its stock went tumbling late in the year and through the first half of 2013.

Over the last month, shares of AAPL have surged nearly $50. However, Apple is still off about $100 from the start of 2013, and remains well below its peak north of $700 reached last September.

Exxon overtook Apple's market cap in late January of this year, amidst a continued selloff of AAPL stock. At the time, Apple was worth about $413 billion, not far from where it was as of Thursday afternoon.

After a few quarters with relatively flat growth, investors are hopeful that Apple can once again gain momentum this fall, particularly with the anticipated debuts of new iPhones and iPads. Among the products expected are a so-called "iPhone 5S," a new low-cost iPhone, a thinner and lighter fifth-generation iPad, and a second-generation iPad mini.
post #2 of 22
Finally rumors that are working in Apple's favor
post #3 of 22

Good for Apple. One of the few companies that is not selling "crap" products! MS, Google, Samsung, HP, Dell, etc., take note on how to do it the right way...

 

...i.e., great hardware with great software which creates an ecosystem that people want to buy into! Duh! :)

post #4 of 22
The stock will end down today on this.

Originally Posted by helia

I can break your arm if I apply enough force, but in normal handshaking this won't happen ever.
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Originally Posted by helia

I can break your arm if I apply enough force, but in normal handshaking this won't happen ever.
Reply
post #5 of 22
It's sad that Apple makes LESS money, gets LESS marketshare, has LESS prospects for successful products, yet people buy their stock. This is the same thing that was happening on the runup to $700. Do people not learn? Do some research before you buy the stock (or their products for that matter).

Outdated and inferior technology/computer products (no matter how cool they look), especially when combined with the prices that Apple sells them at, is not a recipe for success.
post #6 of 22
Quote:
Originally Posted by NostrOdamus View Post

It's sad that Apple makes LESS money, gets LESS marketshare, has LESS prospects for successful products, yet people buy their stock. This is the same thing that was happening on the runup to $700. Do people not learn? Do some research before you buy the stock (or their products for that matter).

Outdated and inferior technology/computer products (no matter how cool they look), especially when combined with the prices that Apple sells them at, is not a recipe for success.

 

There isn't a single statement in that entire post which is even remotely close to being true.

 

But if it makes you feel better, go for it, I guess.

post #7 of 22
Quote:
Originally Posted by NostrOdamus View Post

It's sad that Apple makes LESS money, gets LESS marketshare, has LESS prospects for successful products, yet people buy their stock. This is the same thing that was happening on the runup to $700. Do people not learn? Do some research before you buy the stock (or their products for that matter).

Outdated and inferior technology/computer products (no matter how cool they look), especially when combined with the prices that Apple sells them at, is not a recipe for success.

Ha ha ha ha ha ha … wait … that was all sarcasm right?
Been using Apple since Apple ][ - Long on AAPL so biased
nMac Pro 6 Core, MacBookPro i7, MacBookPro i5, iPhones 5 and 5s, iPad Air, 2013 Mac mini, SE30, IIFx, Towers; G4 & G3.
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Been using Apple since Apple ][ - Long on AAPL so biased
nMac Pro 6 Core, MacBookPro i7, MacBookPro i5, iPhones 5 and 5s, iPad Air, 2013 Mac mini, SE30, IIFx, Towers; G4 & G3.
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post #8 of 22
Quote:
Originally Posted by AaronJ View Post

 

There isn't a single statement in that entire post which is even remotely close to being true.

 

But if it makes you feel better, go for it, I guess.

Apple made 22% less profit:  http://www.france24.com/en/20130723-apple-profit-down-22-69-bn-but-tops-forecasts

Less marketshare:  http://www.idc.com/getdoc.jsp?containerId=prUS24108913

 

But if it makes you feel better, you can live in a dreamworld and avoid this nasty place called reality.

post #9 of 22
Quote:
Originally Posted by NostrOdamus View Post

Apple made 22% less profit:  http://www.france24.com/en/20130723-apple-profit-down-22-69-bn-but-tops-forecasts

Less marketshare:  http://www.idc.com/getdoc.jsp?containerId=prUS24108913

 

But if it makes you feel better, you can live in a dreamworld and avoid this nasty place called reality.

First line in your first link "Apple delivered better-than-expected earnings of $6.9 billion in the quarter just ended, the tech giant said Tuesday, boosting the share price of the maker of the iPhone and iPad."

Help! I'm trapped in a white dungeon of amazing precision and impeccable tolerances!

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Help! I'm trapped in a white dungeon of amazing precision and impeccable tolerances!

Reply
post #10 of 22
Quote:
Originally Posted by GadgetCanadaV2 View Post

First line in your first link "Apple delivered better-than-expected earnings of $6.9 billion in the quarter just ended, the tech giant said Tuesday, boosting the share price of the maker of the iPhone and iPad."

 

What a buffoon

Yes, what's your point?  That Apple was expected to make less money than it did?  If your kid was expected to get a D but got a C-, would you say he got a great grade? 

 

Read the rest of it, and you'll see that Apple made 22% less money.

post #11 of 22
Quote:
Originally Posted by NostrOdamus View Post

Apple made 22% less profit:  http://www.france24.com/en/20130723-apple-profit-down-22-69-bn-but-tops-forecasts

Less marketshare:  http://www.idc.com/getdoc.jsp?containerId=prUS24108913

 

But if it makes you feel better, you can live in a dreamworld and avoid this nasty place called reality.

 

First, I'll address market share, the same way I always do: It's fairly meaningless.  McDonald's has a huge market share.  That doesn't mean that their "food" is any less abhorrent.  Also, market share is not really indicative of much, as there may be more phones running Android, but if you look at traffic, iOS is being used more.

 

Second, as to margins going down last quarter, that's obvious why.  And since they sold a record number of iPhones, I would find it difficult to argue that they are failing.

post #12 of 22
Quote:
Originally Posted by AaronJ View Post

 

First, I'll address market share, the same way I always do: It's fairly meaningless.  McDonald's has a huge market share.  That doesn't mean that their "food" is any less abhorrent.  Also, market share is not really indicative of much, as there may be more phones running Android, but if you look at traffic, iOS is being used more.

 

Second, as to margins going down last quarter, that's obvious why.  And since they sold a record number of iPhones, I would find it difficult to argue that they are failing.

Ok, and why is traffic more relevant (by the way, those traffic statistics have been repeatedly shown as incorrect)?

 

We are talking about marketshare, which, when the market is saturated (and people just repurchase something similar to what they had before), is what matters for profits looking forward, which will affect the stock price, which will matter to this article.  If you want to argue the taste of McDonald's (or taste of your phone or whatever), this has no bearing to which company is the most valuable (or will be).

 

Market share is measured in percentages, that's why the absolute number doesn't matter.  Margins do matter, and those fell (so far, infact, that even the increase in number of iPhones sold couldn't compensate).

post #13 of 22
Quote:
Originally Posted by NostrOdamus View Post

Ok, and why is traffic more relevant (by the way, those traffic statistics have been repeatedly shown as incorrect)?

 

We are talking about marketshare, which, when the market is saturated (and people just repurchase something similar to what they had before), is what matters for profits looking forward, which will affect the stock price, which will matter to this article.  If you want to argue the taste of McDonald's (or taste of your phone or whatever), this has no bearing to which company is the most valuable (or will be).

 

Market share is measured in percentages, that's why the absolute number doesn't matter.  Margins do matter, and those fell (so far, infact, that even the increase in number of iPhones sold couldn't compensate).

 

Market share is pretty irrelevant, since it doesn't measure SALES.  I don't understand how you could not grasp this, but apparently you don't.

 

And traffic matters because of advertising.  

post #14 of 22

The numbers quoted are for the current quarter.  Historically, when rumors of new Apple products start to swirl, their existing sales taper off.  So, yes, this quarter they don't show the same growth as other handsets that DID have new product launches in the quarter.  Woop.  If you look at longer time periods, you'll see that for a full year, Apple is still top in the market.

 

Their profit for the quarter is less than last year. However, this was PLANNED. Stock buybacks, dividends, purchasing companies, etc. Apple is spending the money they are making instead of just hoarding all of it into a huge pile.  This will help ensure long term growth, even though the final profit number is less.

 

And as far as new products, rumors are starting to boil about what might be next.  Remember how little was known about the iPad until it launched?  Apple could have something really spectacular waiting around the corner for us.  It's about that time.

post #15 of 22
Quote:
Originally Posted by AaronJ View Post

 

Market share is pretty irrelevant, since it doesn't measure SALES.  I don't understand how you could not grasp this, but apparently you don't.

 

And traffic matters because of advertising.  

market share is a good indicator of future sales when (for example) the smartphone market gets saturated and doesn't grow anymore.

 

Ok, I see your point why web traffic metrics matter.  But it has been repeatedly shown that all the metrics that show that 85% of mobile traffic comes from iDevices is completely off, as their tracking methods don't work.  Only Safari-based browsers can be accurately traced back to their origins (and all browsers on iOS are Safari-based).

post #16 of 22
Quote:
Originally Posted by NostrOdamus View Post

It's sad that Apple makes LESS money, gets LESS marketshare, has LESS prospects for successful products, yet people buy their stock. This is the same thing that was happening on the runup to $700. Do people not learn? Do some research before you buy the stock (or their products for that matter).

Outdated and inferior technology/computer products (no matter how cool they look), especially when combined with the prices that Apple sells them at, is not a recipe for success.

Seriously?  Please I'm laughing so hard I just hurt myself.  There is not a shred of honesty in anything you said.

post #17 of 22
Quote:
Originally Posted by NostrOdamus View Post

Apple made 22% less profit:  http://www.france24.com/en/20130723-apple-profit-down-22-69-bn-but-tops-forecasts

Less marketshare:  http://www.idc.com/getdoc.jsp?containerId=prUS24108913

 

But if it makes you feel better, you can live in a dreamworld and avoid this nasty place called reality.

Cherry picking where apple lost market share the last quarter for your point of view does you no credit.  Apples market share also went up in the UK, Spain, and other areas in Europe for the quarters including France if you believe surveys and analysts.

 

http://appleinsider.com/articles/13/07/29/ios-phone-share-growing-faster-than-android-in-us-uk-and-france

 

Seams that you can cherry pick and make your own "dreamworld".

post #18 of 22
Quote:
Originally Posted by Mechanic View Post

Cherry picking where apple lost market share the last quarter for your point of view does you no credit.  Apples market share also went up in the UK, Spain, and other areas in Europe for the quarters including France if you believe surveys and analysts.

http://appleinsider.com/articles/13/07/29/ios-phone-share-growing-faster-than-android-in-us-uk-and-france

Seams that you can cherry pick and make your own "dreamworld".

He is in a dreamworld or maybe South Korea? 1biggrin.gif
Been using Apple since Apple ][ - Long on AAPL so biased
nMac Pro 6 Core, MacBookPro i7, MacBookPro i5, iPhones 5 and 5s, iPad Air, 2013 Mac mini, SE30, IIFx, Towers; G4 & G3.
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Been using Apple since Apple ][ - Long on AAPL so biased
nMac Pro 6 Core, MacBookPro i7, MacBookPro i5, iPhones 5 and 5s, iPad Air, 2013 Mac mini, SE30, IIFx, Towers; G4 & G3.
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post #19 of 22
Quote:
Originally Posted by NostrOdamus View Post

It's sad that Apple makes LESS money, gets LESS marketshare, has LESS prospects for successful products, yet people buy their stock. This is the same thing that was happening on the runup to $700. Do people not learn? Do some research before you buy the stock (or their products for that matter).

Outdated and inferior technology/computer products (no matter how cool they look), especially when combined with the prices that Apple sells them at, is not a recipe for success.

You are very funny. And where is this guy.. what's his name.. Constable Hodor??? Where is he?

post #20 of 22
Quote:
Originally Posted by Brian Jojade View Post

The numbers quoted are for the current quarter.  Historically, when rumors of new Apple products start to swirl, their existing sales taper off.  So, yes, this quarter they don't show the same growth as other handsets that DID have new product launches in the quarter.  Woop.  If you look at longer time periods, you'll see that for a full year, Apple is still top in the market.

 

Their profit for the quarter is less than last year. However, this was PLANNED. Stock buybacks, dividends, purchasing companies, etc. Apple is spending the money they are making instead of just hoarding all of it into a huge pile.  This will help ensure long term growth, even though the final profit number is less.

 

And as far as new products, rumors are starting to boil about what might be next.  Remember how little was known about the iPad until it launched?  Apple could have something really spectacular waiting around the corner for us.  It's about that time.

You may be right.  But if the new product is an iPad Mini with Retina display, or the same  computer products but with Haswell chips, I'll be disappointed.  

post #21 of 22
Apple got something big cooking. Not one, but several big things almost ready to launch.

704.36 will be in the rearview mirror in a few months, mark my words.
post #22 of 22

While it would be nice to see AAPL producing more products which meet the expectations of various fans, what matters most to AAPL investors is that AAPL produce financial results which meet Wall St. expectations. If Wall St. lowers the bar for AAPL (as it has for Netflix, Amazon, Facebook, etc.) and allows Apple to have slimmer margins, slower earnings growth and/or a higher P/E ratio, that will be good for those of us who own shares.

 

Now, from a consumer standpoint, I am also mildly frustrated that Apple seems to be having trouble coming out with products which make me want to run out and buy one or more. Over the past 3 years or so, I've bought a number of Apple gadgets and I'm very happy with the performance and build quality of all of them. But going forward, I do not *yet* see a reason to buy say, an Apple TV, an iPad Mini or an iPhone. I see myself probably having one or all at some point, but none of them yet does enough to motivate me to plunk down my credit card. Maybe next cycle. I'm in no great hurry.

 

IMO, Siri should be on the iMac yesterday. The Apple TV should have apps and Siri - even if it cost more. It could also pretty much kill TiVo and the various streaming services in one swipe if it had the ability to DVR programs that it *thinks* we like to the cloud. What I wouldn't give for a TV connected device that had some idea that I love racing, science and tech shows but I hate reality TV and badly written network dramas with a passion. Find me what I want and save me from wasting time channel surfing, Siri!!! The iPhone (and other iOS and OSX driven devices) should have a bigger screen and the ability to be more of a semi-autonomous task execution device, IMO. More devices that are just lighter/thinner/flatter/whatever don't really interest me as a consumer. But again, as an investor, as long as Apple can meet & beat whatever expectations Wall St. lays out, I think things look pretty good now.
 

If two people always agree, then one of them is redundant.
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If two people always agree, then one of them is redundant.
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